Outside Source
Ripple has continued its strong bull run this year, outperforming other popular cryptocurrencies like Bitcoin and Ethereum.
Ripple (XRP) has surged by over 52% in 2024, while Bitcoin is up by just 11%. Most popular altcoins, such as Cardano and Binance Coin, have barely moved.
The first major reason for XRP’s upside potential is the ongoing growth of the XRP Ledger network. According to DeFi Llama, the total value locked in its DeFi ecosystem has risen to a record high of $82 million.
The network is expected to continue expanding this year. For example, according to CoinGecko, some coins within the ecosystem, such as Sologenic and Crypto Trading Fund, have market caps exceeding $100 million. Others, like XRP Army, PHNIX, DROP, and Ripples, are slowly gaining market share.
Second, Ripple USD (RLUSD) is experiencing significant trading activity. While its market cap remains at $72 million, its daily trading volume has been steadily increasing. In the past 24 hours, RLUSD recorded a trading volume of over $162 million, signaling active usage by holders.
Third, there are rising odds that the Securities and Exchange Commission will approve multiple XRP ETFs this year. Canary, Bitwise, 21Shares, WisdomTree, and ProShares have all filed applications for spot Ripple ETFs. According to Polymarket users, there is a 78% chance that the SEC will approve these funds in 2024.
XRP price has solid technicals
Additionally, Ripple has strong technical indicators suggesting further upside in the long term. The most bullish catalyst is the formation of a bullish pennant pattern, which XRP has already broken above. This pattern features a long vertical line followed by consolidation, often signaling continued gains.
Ripple has also moved to the ultimate resistance of the Murrey Math Lines tool and could potentially jump to the extreme overshoot at 4. The MML identifies key support and resistance levels for an asset using mathematical calculations.
The XRP price is further supported by the 50-week and 100-week moving averages, along with the Average Directional Index. This trend suggests that XRP could rise further and retest the key resistance level at $5.
This article first appeared at crypto.news
