XRP, the seventh-largest cryptocurrency by market capitalization, recently formed a golden cross on its short-term charts, a technical indicator that often signals potential price increases. The market is closely monitoring whether this event could lead to a significant increase in the price of XRP.
A golden cross occurs when a short-term moving average (usually a 50-period moving average) crosses above a longer-term moving average (often a 200-period moving average).
In the case of XRP, a golden cross appeared on the four-hour chart, indicating that short-term momentum has outpaced long-term momentum.
This crossover is usually interpreted as a bullish signal, suggesting that momentum is shifting in favor of buyers and that higher prices may be on the horizon.
The price of XRP has been rising over the past week as markets overall have risen following the Fed’s massive rate cut.
What’s next for the XRP price?
XRP began to rise after a sharp recovery from the $0.50 low on September 6. While gains were punctuated by minor declines, XRP continued to rise, peaking at $0.612 on September 21 before declining.
At the time of writing, XRP has fallen 1.18% to $0.587 over the past 24 hours. As it stands, the $0.61-$0.66 range has acted as a psychological barrier in recent months, and a successful breakout of this level could trigger additional buying pressure, pushing the price higher.
Traders also view the $0.748 mark as a critical barrier. If XRP can gain enough momentum to clear this key resistance, a significant price surge could follow, potentially lifting the seventh-largest digital asset to new yearly highs.
While the golden cross is a bullish signal, it is important to consider other factors such as overall market sentiment and broader economic trends that could significantly impact the price of XRP.
