Key points
- XRP is trading above $2.40 after defending the $2.35 support level.
- The cryptocurrency could soon challenge resistance near $2.70.
XRP holds the $2.35 support level
The cryptocurrency market started the week on a positive note, with Bitcoin and other major coins posting notable gains. Bitcoin reached resistance around $107,000 but faced rejection in that area and dipped below $103,000 on Wednesday.
That pullback weighed on many top altcoins, including XRP. On Tuesday the Ripple native token briefly fell below $2.40, but buyers defended the $2.35 support. That defense allowed XRP to reclaim the $2.40 level and could serve as a springboard for higher prices in the short term.
Analysts expect XRP’s price to rise amid speculation around possible ETF approvals by the U.S. Securities and Exchange Commission (SEC). In an email to CoinJournal, Alexis Sirkia, chairman of Yellow Network (backed by Ripple), said:
“Investors are trying to front-run and benefit from the retail and institutional capital that will flow into ETF approvals, which appear set for November 13.”
Although separate entities, Ripple’s recent strategic $500 million investment and its $40 billion valuation are additional bullish factors supporting XRP’s price. If Wall Street firms such as Citadel and Fortress are making sizable bets on Ripple, which operates the XRPL, it signals confidence in the ledger’s utility. Any significant future price moves for XRP will likely be driven by these structural factors as well as short-term sentiment.
XRP targets $2.70 if daily $2.35 support holds
On Monday, XRP climbed to $2.55, retesting its 50-day EMA after last week’s bearish move. Resistance held, and XRP slipped below $2.40 on Tuesday. It is currently trading around $2.44 per coin.
If the daily $2.35 support level holds, XRP could rally to retest resistance at $2.55. A more extended bullish trend could capture liquidity along the trendline and push the price toward $2.70.
The daily RSI has fallen just under the neutral 50 level to 47, indicating slightly weakened momentum. However, the MACD showed a bullish crossover earlier this week, suggesting the upside scenario remains valid.
Conversely, a daily close below $2.35 would prolong the bearish trend and could send XRP down toward the next daily support level near $1.96.