XRP Holds Steady Ahead of Federal Reserve Decision
Ripple’s XRP is trading above $3.00 on Tuesday. Investors are waiting for the US Federal Reserve’s interest rate decision on Wednesday. The Federal Open Market Committee (FOMC) is expected to cut rates by 25 basis points to 4.00-4.25%. Some hope for a 50 basis points cut. A rate cut could boost the crypto market in the last quarter of the year. This may increase demand for riskier assets like cryptocurrencies and stocks.
REX-Osprey XRP ETF Launch Expected This Week
Bloomberg analyst James Seyffart said the REX-Osprey XRP Exchange Traded Fund (ETF) may start trading this week in the US. This will be the first US spot ETF offering direct exposure to XRP. The ETF will trade under the ticker XRPR. Unlike Bitcoin and Ethereum spot ETFs, XRPR holds XRP and other XRP ETF products listed globally.
Seyffart noted the fund could use derivatives if needed, but the main exposure is through holding XRP. The exact launch date is not confirmed. However, it could begin trading this Thursday, alongside Dogecoin’s DOJE ETF, supported by the same company, REX Shares.
Bitcoin and Ethereum spot ETFs have helped increase demand and prices for these assets. The XRPR ETF could similarly boost interest in XRP. This may help XRP approach its July 18 high of $3.66.
Technical Outlook: XRP Eyes Breakout Above $3.00
XRP is supported by a descending trendline and the 50-day Exponential Moving Average (EMA) at $2.94. The Relative Strength Index (RSI) is at 54, showing growing bullish momentum. The Moving Average Convergence Divergence (MACD) indicator has shown a buy signal since September 8.
If XRP stays above $3.00, it could break out toward its record high of $3.66. However, if it falls below $3.00, support levels at the 50-day EMA ($2.94), 100-day EMA ($2.81), and $2.70 could limit losses.
The Federal Reserve’s rate decision on Wednesday will influence XRP and the wider crypto market. A rate cut may increase risk appetite and support digital assets like XRP.
