XRP News Today: XRP Traders Eye 2.35 Resistance Amid ETF Approval Speculation

XRP, the cryptocurrency developed by Ripple Labs, has been trading within a narrow range, oscillating between $2 and $2.35. This consolidation phase has sparked considerable interest among traders, who are closely monitoring the price movements in anticipation of a potential breakout. The next significant price movement for XRP is expected to be influenced by speculation surrounding the approval of an Exchange-Traded Fund (ETF) tied to the cryptocurrency.

According to traders, the $2.35 resistance level is a critical threshold. A break above this level could trigger a frenzy of ETF speculation, potentially driving the price higher. This anticipation is rooted in the belief that an ETF approval would provide a more accessible and regulated investment vehicle for institutional investors, thereby increasing demand for XRP. The $2.35 resistance level has been identified as a key indicator, with traders suggesting that a successful breach could signal the start of a new upward trend.

The current price range of XRP reflects a period of consolidation, where the cryptocurrency is neither experiencing significant gains nor losses. This stability is seen as a precursor to a potential breakout, with traders and analysts closely watching for any signs of a shift in market sentiment. The speculation around an ETF approval adds an additional layer of complexity to the market dynamics, as investors weigh the potential impact of such a development on the price of XRP.

Buyers pushed XRP above the 50-day simple moving average ($2.24) on Monday, but the long wick on the candlestick shows selling at higher levels. The 20-day exponential moving average ($2.17) is the key level to watch out for in the near term. If the price rebounds off the 20-day EMA with force, it increases the likelihood of a break above the $2.35 resistance. If that happens, the XRP/USDT pair may surge to $2.65. Contrarily, if the price breaks and maintains below the 20-day EMA, it signals that the bears are trying to seize control. The pair could slide to $2.06 and later to $2. Buyers are expected to defend the $2 level with all their might because a close below it opens the doors for a fall to $1.61.

The 4-hour chart shows that the bears are fiercely defending the $2.35 level. There is support at the 50-SMA, but if the bears prevail, the pair could drop to $2.06. This is a critical level for the bulls to defend because a break below $2.06 may sink the pair to $2. On the contrary, if the price turns up from the 50-SMA, the bulls will try to push the pair to the neckline of the inverse head-and-shoulders pattern. A break and close above the neckline completes the bullish setup, which has a target objective of $2.76.

The anticipation of an ETF approval is not without precedent. In the past, the approval of ETFs for other cryptocurrencies, such as Bitcoin, has led to significant price increases. Traders are hoping that a similar scenario could play out for XRP, with the approval of an ETF serving as a catalyst for a new rally. However, it is important to note that the approval of an ETF is not guaranteed, and any delay or rejection could lead to a reversal in market sentiment.

In summary, XRP is currently trading within a tight range, with traders predicting a potential breakout to $2.35 amid speculation surrounding the approval of an ETF. The $2.35 resistance level is seen as a critical threshold, with a successful breach potentially triggering a new upward trend. The current price range reflects a period of consolidation, with traders and analysts closely monitoring the market for any signs of a shift in sentiment. The anticipation of an ETF approval adds an additional layer of complexity to the market dynamics, with investors weighing the potential impact of such a development on the price of XRP.