Massive Rally or Another Correction on the Way?
XRP’s Resilience Amid Market Volatility
In recent weeks, the cryptocurrency landscape has showcased significant volatility. Ripple’s XRP has been particularly active, experiencing a drop to a local low below $2 on March 11, before rebounding to its current price of approximately $2.28—an increase of 3.5% over the past day, according to CoinGecko.
Analysts remain hopeful about XRP’s trajectory. Notably, a prominent figure in the crypto space, known as Crypto General, has expressed confidence in XRP’s resilience. With XRP consistently trading above the significant breakout threshold of $0.94, the analyst emphasizes this stability as a strong indicator of future gains. "My target for the short term would be around $9. But overall, I am even more bullish, being a USA project and all the cases by SEC have been taken back; it is bound to pump hard," Crypto General stated.
This optimism surfaces amidst a backdrop of evolving regulatory landscapes. Recently, the US Securities and Exchange Commission (SEC) has dismissed various lawsuits against numerous crypto enterprises. Although Ripple’s legal challenges remain unresolved, there is speculation surrounding a potential resolution in the upcoming weeks.
Another analyst, identified as CRYPTOWZRD, presented a more tempered outlook. They highlighted a slight bullish closing in XRP’s latest daily candle, suggesting that the XRP/BTC trading pair may indicate an upcoming upward movement. The analyst posits that XRP may push toward a resistance level of $2.80, with a support baseline at $2.05.
Mixed Signals from On-Chain Metrics
While sentiments around XRP remain optimistic, caution is warranted due to declining on-chain metrics. Analyst Ali Martinez has flagged these metrics, indicating a possible slowdown. The TD Sequential indicator on the 4-hour chart has flashed a sell signal, hinting at potential profit-taking behaviors among traders.
Moreover, critical on-chain figures such as payment flows, active accounts, and transaction counts have taken a downturn in recent days, suggesting a reduction in user activity and network adoption. Such trends could introduce downward pressure on XRP’s valuation if not reversed.
As the market evolves, traders and investors are advised to stay vigilant, monitoring regulatory updates, market momentum, and on-chain indicators to navigate potential risks effectively.
