XRP is trading at $1.09 at the time of writing and has witnessed a drop of 11.74 percent over the past month. Considering the value of the past 60 days, the asset has corrected 21.64 percent. The numbers are looking much better in the short term: up 3.22 percent in 24 hours, up 5.16 percent on the week. The short-term figures are not reflecting the market recovery and they are indicating more of a pause on the drop.
The bounce that is gaining attention
XRP has rallied on the back of 5.34 million units to climb over $1.0560 and then print a 1,433 percent improvement in contrast to the previous hourly average. The market bulls continued their process of pushing the price higher in the following session window, resulting in a total volume of 11.31 million, but the price then faded from $1.0665. Overall, daily trading reached $1.92 billion, although it was continuing to be only 5.95 percent better than average.
And that’s because when there are volume spikes during a breakout attempt, that’s a better read on the positioning side rather than conviction. The asset had to get through $1.0560 quickly. Whether it was a short cover, a major buyer stepping in, or some sort of combined initiation, we cannot see that on charts. The thing which is clear is that the move did not draw in sustained follow-through participation.
What does the ETF trend depict in relation to price
According to the data from Sosovalue, the month of June witnessed net XRP ETF flows that still remained in the positive throughout. Jun 26 proved to be the strongest week, leading to XRP ETFs gaining $22.99 million.
In the above shared snapshot, a further $10.65 million inflow the following week indicated that cumulative net flows for the month were a positive $33.64 million, or $1.48 billion since launch. But on July 1st net assets totaled just $960 million vs. $1.18 billion a month prior to that point. It’s here that you determine what the actual situation is. The thing was simple: inflows were constant and consistent, though a price was moving hard enough to eat up the positive flows and pull capital out.
One level is doing all the hard work
The XRP 4-hour chart has now formed a descending wedge that is squeezed around $1.0501 support and resistance, declining from the June 16 high close to $1.30. The price surged upward from yesterday after claiming back as a deviation below the zone of $1.05. The asset has tested the $1.10 level and eventually pulled back to $1.0919; this is the level where it is changing hands.
$1.0501 is the level that needs some attention. This level was tested a number of times in the last week of June, and additionally, there was no candle closing below it. If you look higher, the 20 day EMA is in the area of $1.11, the 50 day EMA is in the area of $1.20 and the last two attempts to run failed in the area of $1.2791. Supply lines are dense in the entire way up against the current price. Sellers are locked in at every single resistance level above.
Sellers are still holding the power
Considering the momentum indicators like RSI, it is resting in the oversold category, which is the mid-30s. The asset is not that much oversold to force a bounce and not even strong to make a trend shift. It has been for a while and the momentum is still on the weaker side.
The other indicator, MACD, is close to zero, while Chaikin Money Flow is showing a negative reading. The asset is trading below all significant moving averages. XRP is now stuck between the fib zone of 61.8 percent at $1.12 and the other 78.6 percent retracement level of $1.07. The thing to note here is that the asset has reclaimed neither oif them
