- XRP traded above $3, consolidating within an ascending channel.
- The launch of CME Group futures on February 10 sparks bullish sentiment.
- Analysts and charts suggest a potential recovery towards $5.
The price of Ripple (XRP) remained above the $3 mark on Thursday, January 23, supported by a series of bullish events. Despite this, the XRP price remained stagnant in a narrow range between $3.0 and $3.2.
Ripple investors remained optimistic about multiple catalysts ahead. These include the potential approval of an ETF and the CME Group’s listing of XRP futures, scheduled for February 10, 2025.
XRP consolidates around $3 despite bullish catalysts
The XRP price remained above $3 mid-week, supported by major market developments. In the process, James Seyffart, ETF analyst at Bloomberg, confirmed the imminent listing of XRP and Solana (SOL) futures on the CME Group.
It is the largest derivatives exchange in the world. Institutional interest is expected to increase significantly as CME listings often attract capital inflows from institutional investors.
Additionally, Trump’s recent interest in memecoins appears to have shifted some capital flows to Solana. This temporarily overshadowed XRP.
Despite this, on-chain data hinted at bullish sentiment. According to CryptoQuant, the reserves of cryptocurrency XRP on Binance have increased from 3.04 billion to 2.9 billion tokens since January 16. This drop of 100 million, worth around $300 million, suggests that many holders have moved XRP to long-term storage.
XRP price nears a breakout at $5.
The price of XRP price inside an ascending channel indicates increasing bullish momentum. Fibonacci retracement levels identified $2.72 as a critical support zone.
This also corresponds to the level of 0.618. The 50-day EMA, located at $2.44, also provides dynamic support in the event of a pullback.
On the upside, resistance at $3.87, linked to the 1.618 Fibonacci extension, is the next key target. A move above $3.2 could push XRP price towards this level, potentially opening the door for a rally to $5.
The RSI at 61 suggests bullish momentum without overbought conditions. At the same time, the crossing of the 50/200 EMA supports the positive outlook.
-Meanwhile, crypto analyst Ali Martinez referred to a symmetrical triangle formed in 2018. He predicted a rise to $15 if XRP breaks the upper boundary of the triangle.
Another analyst, Dark Defender, mentioned possible intermediate targets at $2.72, $2.90 and $5.85, citing a descending triangle. These projections highlight potential optimism, but operators remain cautious.
Other analysts, including Ben “BitBoy” Armstrong, have said that the XRP could reach $4.5 before dropping sharply again.
Ripple’s legal woes continue to weigh on XRP
On January 22, Better Markets, a nonprofit organization, advocated for the integrity of financial markets. The organization filed an amicus curiae brief supporting the appeal of the SEC.
The brief criticized an earlier court ruling that excluded secondary market sales of XRP from securities regulation. While arguing, he overlooked the dangers of retail investors.
Acting SEC Chairman Mark Uyeda has called a closed-door meeting for January 23. This sparked rumors of possible settlement talks.
The resilience of crypto XRP above $3 suggested that the token is preparing for a rally. This was accompanied by strong technical support and a reduction in market supply.
Analysts remained optimistic about a breakthrough towards $5. They depend on catalysts such as the future launch of the CME and developments in the Ripple SEC case, which are likely to boost demand.
Disclaimer
In this article, the views and opinions expressed by the author or any person cited are for information purposes only and do not constitute investment, financial or other advice. Trading or investing in cryptocurrencies carries a risk of financial loss.
