The performance of Bitcoin has often overshadowed the developments of most altcoins. Even though the impact of BTC’s volatility is visible across all major coins in the market, the independent movement of many major coins has been often neglected. A similar trend has been taking shape in the XRP market despite the sideways movement of Bitcoin.
At press time, the price of XRP was surging by 9.14% in the past seven hours. On 8 July, the price of the fourth-largest asset spiked from $0.1840 to $0.2008, while BTC was still stuck at $9.2k. However, the excitement around a price surge in the XRP market has died down due to the dull action over the past couple of months.
Source: XRP/USD on TradingView
The XRP price though not stable was consistently trending downwards. The 24-hour trading volume has been noting restricted activity. According to data provided by CoinMarketCap, its 24-hour trading volume was at $1.45 billion, which has spiked due to a recent breach in a bullish trend.
According to the 6h-chart of XRP, the price of XRP falling in a descending channel since mid-June. Despite the sudden volatility, the value of the coin was still limited within the channel sloping downwards. The pattern comprised of two parallel lines connected by the lower highs and lower lows, highlighting this downward trend. The XRP price decreased from $0.2040 to $0.1787, before breaking out. Generally considered a bullish sign in the market, the value of XRP shot up to $0.2008 and was trading at $0.1995, at press time.
According to the Fib Retracement tool, the price successfully breached resistances at $0.1851 and received another boost to cross $0.1904 and $0.1958 recognized as high resistance points. However, the price appeared to treat $0.1958 as immediate support. The same resistance will act as firm support if the coin notes a correction in the market. The Chaikin Money Flow [CMF] noted that despite a surge in price, the value of XRP was still low as the buying of the digital asset had increased. As per the chart, the signal line started trending up since 4 July and continued to spike. However, at press time, the spike was starting to recede.
This spike has also resulted in the ever strong correlation between XRP-BTC to also trend downwards, indicating the independent nature of the surge in the XRP market.