XRP continued to trade in a tight squeeze Thursday, maintaining a price level just shy of the elusive $0.50 mark amidst legal battles with the SEC and a broader crypto market drawdown.
In the past ten or so weeks, XRP, albeit staying mute, has remained resilient, locked in a narrow trading range between $0.50 and $0.48. However, amidst this apparent price stability, a surge in open interest has sparked fresh optimism among investors on the lookout for a colossal $10 XRP Price.
According to analysts at Cryptoquant, XRP has emerged as a focal point in the cryptocurrency landscape due to a notable increase in open interest. This metric, which reflects the number of outstanding derivative contracts, has risen sharply compared to other digital assets.
Analyst Woominkyu highlighted this trend on Wednesday, noting, “This heightened interest indicates that more trading activity is occurring with XRP. Investors are opening positions with expectations of price increases.”
This uptick in open interest comes at a crucial juncture for XRP, with market sentiment buoyed by technical indicators and bullish predictions. Santiment, another market insights firm, also observed significant short-covering activities among XRP traders, suggesting a potential catalyst for upward price movements.
“Cardano and XRP are a couple of the most notable altcoins that are seeing heavy trader shorting following relief bounces. This is a good sign for patient bulls, as liquidates shorts can effectively act as ‘rocket fuel’ for continued price rises,” tweeted Santiment.
Meanwhile, technical analysts have also expressed optimism about XRP surging soon, with figures like “Crypto Barbie” predicting substantial gains for XRP in future bull runs. In a Thursday tweet, the pundit rallied fellow investors, emphasizing the potential for “generational wealth” and expressing confidence in XRP reaching $600 in the next bull run.
Another analyst, Javon Marks, pointed out a historical bullish divergence pattern reminiscent of previous exponential gains, hinting at a possible surge into double-digit and beyond price territories.
“XRP continues to hold and showcase a highly similar Hidden Bullish Divergence that previously (2017-2018) led into an approximately +62,100% climb! With the noticing of prices nearing alternative major converging/breakout points and this divergence occurring, a bullish breakout to the upside is looking extremely likely and it may lead into yet another significant upside climbs. XRP into the $10s, $20s, and even higher may be coming sooner and at a greater pace than many think…” wrote Marks.
That said, the optimism surrounding XRP’s price potential contrasts with ongoing legal uncertainties stemming from the U.S. Securities and Exchange Commission’s (SEC) lawsuit against Ripple Labs, which is nearing its end. The lawsuit, alleging securities violations, has kept XRP holders on edge, awaiting a pivotal court ruling that could significantly impact the cryptocurrency’s future.
However, recent developments, including the SEC’s closure of investigations into Ethereum 2.0, have added to speculations that Ripple could similarly find regulatory clarity, potentially lifting XRP to new heights.
At press time, XRP was trading at $0.49, reflecting a slight uptick of 1.55% over the past 24 hours.
