Ripple Token Zooms 5% Higher as Bitcoin Grapples With $84K Level
Solana’s SOL and XRP, the native token of Ripple, both surged roughly 5% in the past 24 hours, outpacing other major cryptocurrencies as Bitcoin (BTC) encountered resistance around the $84,000 mark. Notably, SOL experienced a significant 7% jump following the conclusion of the contentious SIMD-0228 proposal, which saw an unprecedented voter turnout in Solana’s governance history. Those opposing the proposal argued that its passage could potentially disrupt the ecosystem of decentralized finance (DeFi) and diminish institutional interest in the platform. Details were reported here.
XRP’s recent uptick can be attributed to a positive week for Ripple Labs, highlighted by the company acquiring a payments license in the UAE. Furthermore, sources indicate that Ripple is nearing a resolution in its protracted legal battle with the U.S. Securities and Exchange Commission (SEC), contributing to the token’s upward momentum. More on this development can be found here.
In parallel, memecoins saw a resurgence on Friday, with notable increases among tokens like Pepecoin (PEPE), Toshi (TOSHI), and Dogecoin (DOGE), which skyrocketed by up to 40%, injecting some volatility into an otherwise stable market. TOSHI led the charge with a remarkable 38% gain, while PEPE saw a growth of 12% before pulling back during European trading hours. Meanwhile, KEYCAT, another Base-based token, surged over 100% after announcing a partnership with Acheron Trading, aiming to enhance liquidity and broaden its market presence.
This broader memecoin rally illustrates a notable shift in trader sentiment, prompting speculators to explore higher-risk assets as Bitcoin retains a sideways trading range. Bitcoin wrapped up the week down by 3%, following two weeks of extreme volatility that saw fluctuations between $75,000 and $95,000 and marking a decline of up to 20% from its January high of over $108,000.
Market participants are closely monitoring macroeconomic indicators and potential rate cut decisions for insights into future trading strategies. Agne Linge, head of Growth at WeFi, remarked in a communication with CoinDesk that "the recent cooling in inflation strengthens the case for potential rate cuts later this year." However, he warned that heightened geopolitical and economic tensions, particularly from ongoing trade issues, would complicate the Federal Reserve’s policy direction.
Bitcoin’s rapid price fluctuations in recent weeks—oscillating between $79K and $85K—underscore its mounting responsiveness to macroeconomic conditions, suggesting a transition toward behavior typically associated with risk-on assets rather than a traditional store of value. Linge anticipates that this volatility will persist amid prevalent geopolitical tensions and economic uncertainties.
Analyst Alex Kuptsikevich from FxPro advised traders to focus on a critical break above the $89,000 threshold as an indicator for bullish sentiment. He stated, "Only if the market breaks above its 200-day moving average will we be able to take it as a signal of a return to growth." Currently, market dynamics appear to be reflecting a bumpy downtrend, with bears regaining control whenever prices approach the $83,500 level.
