Ripple (XRP) Price Faces Downward Pressure
Ripple (XRP) is trading at $2.18 as of Tuesday. The cryptocurrency market is mostly bearish. Investors are taking quick profits and protecting their funds. If the downward trend continues, XRP could fall below $2.00. This would make a rise to $3.00 unlikely. However, increasing demand from both retail and institutional buyers might help prices rise in the coming days.
XRP ETFs See Strong Inflows on Launch
New XRP Exchange Traded Funds (ETFs) from Grayscale and Franklin Templeton began trading on Monday. This brought the total number of U.S. spot XRP ETFs to four.
- Grayscale’s GXRP ETF saw $67 million in inflows.
- Franklin Templeton’s XRPZ ETF had $63 million on its first day.
- Bitwise’s XRP ETF posted $18 million inflows.
- Canary Capital’s XRPC recorded $16 million inflows.
In total, XRP ETFs gained $164 million on Monday. This raised the total net volume to $587 million and net assets to $628 million.
Retail interest in XRP futures is also growing. Open Interest (OI) in XRP futures jumped to $4 billion on Tuesday from $3.28 billion on Sunday. Higher OI usually means a stronger market and more investor confidence.
Technical Analysis: XRP Needs to Break Key Levels
XRP is trading below important moving averages: the 50-day EMA at $2.38, the 100-day EMA at $2.52, and the 200-day EMA at $2.51. These averages act as resistance.
The MACD indicator shows a slight bullish crossover, but the RSI is at 46, suggesting weak upward momentum. The descending trend line from the $3.66 high limits gains with resistance at $2.68.
Momentum indicators show increasing bearish pressure. If XRP breaks above the moving averages, the outlook could improve. If it fails, the price may drop below $2.00.
