Ripple (XRP) Holds Key Support Amid Market Uncertainty
Ripple (XRP) is staying above the important $2.00 support level. This happens as the overall cryptocurrency market faces growing economic uncertainty. The Federal Reserve (Fed) will announce its monetary policy on Wednesday. Most traders, about 87%, expect a 25-basis-point interest rate cut. If the Fed lowers rates, it could help riskier assets like XRP, Bitcoin (BTC), and Ethereum (ETH). However, keeping rates unchanged might hurt the crypto market and add to uncertainty.
Supply in Profit Decreases, Could Help XRP Price
The amount of XRP in profit on the XRP Ledger has dropped from 68 billion in July to 42 billion. This 38% decline is near levels last seen in November 2024. It shows that investors have been taking profits. When fewer investors hold profitable XRP, there is less chance of selling pressure. This may allow XRP to rebound. Traders tend not to sell when facing unrealized losses.
The Spent Output Profit Ratio (SOPR) helps measure selling pressure. SOPR is the price tokens sell for divided by their purchase price. A value above 1 shows investors have gains and may sell. A value below 1 means investors have losses. Currently, XRP’s SOPR is 0.9591 and rising, which could support a short-term rebound.
Technical Outlook: XRP Trades Sideways With Resistance Above
XRP trades above its $2.00 support. The 50-day, 100-day, and 200-day Exponential Moving Averages (EMAs) are falling, showing a bearish trend. The SuperTrend indicator at $2.39 acts as resistance and caps rallies. The Relative Strength Index (RSI) at 45 shows weak but slight improvement. A rise above 50 could boost momentum.
Resistance levels range between $2.27 and $2.43, with $2.60 acting as a stronger barrier. Support lies near $1.82 from the rising trend line starting at $1.62. If XRP moves above the 50-day EMA at $2.27, downward pressure may ease and allow a stronger rise.
