The price of XRP has risen nearly 10% over the past week, continuing its growth amid an overall market recovery. At the time of writing, the popular altcoin is trading at $2.28.
Improvement in overall market conditions has sparked new interest from XRP traders and prompted its long-term holders (LTH) to reduce their selling activity.
XRP Growth Amid Rising Demand
The recent increase in XRP's price has been fueled by a rise in the number of new addresses created for the altcoin. According to Glassnode, this reached a two-week high of 3,677 addresses on April 28. When the number of new addresses created for trading the asset increases in this manner, it signals an influx of fresh capital and heightened market activity. New traders entering the market can contribute to strengthening the XRP rally and ensuring overall price stability.
Additionally, XRP LTHs (those holding their tokens for more than 155 days) have refrained from selling their assets over the past week. This change in behavior is reflected in the decline of the token's Liveliness metric, which measures the movement of its older tokens. It now stands at 0.81, the lowest level since December 1. When Liveliness decreases in this way, it indicates that these LTHs are holding back from selling or transferring their tokens, signaling reduced selling pressure in the market.
This reflects investor confidence in XRP and indicates potential for further price growth.
Bullish XRP Momentum: Could the next target be $2.50?
On the daily chart, the steady rise of the Relative Strength Index (RSI) for XRP confirms the bullish outlook above. At the time of publication, the momentum indicator stands at 60.10 and remains in a growth trend.
The RSI indicator measures market conditions of overbought and oversold asset. It fluctuates between 0 and 100, with values above 70 indicating that the asset is overbought and may decrease. Conversely, values below 30 signal that the asset is oversold and may recover.
At a value of 60.10, the buying pressure for XRP exceeds selling activity. If this trend continues and the token price breaks through resistance at $2.29, it could rise to $2.50. On the other hand, if sell-offs resume, XRP could lose its recent gains and fall to $1.99.#XRPETFs #BinanceSquare #Write2Earn #Binance #Squar2earn $XRP