Last Updated: 18 July 2023
In a remarkable turn of events, a recent ruling in favor of XRP has cleared the cloud of regulatory challenges that had been looming over the cryptocurrency. This favorable outcome has sparked a significant rally, with XRP surging nearly 100% within a span of just 24 hours. As a result, an increasing number of investors are diverting their attention and capital from Bitcoin and Ethereum towards Ripple’s digital asset. Based on the analysis of market charts, it appears that XRP is on track to surpass its more dominant counterparts in terms of performance.
XRP’s Lagging Performance and its Current Opportunity
While Bitcoin and Ethereum experienced record-breaking highs in 2020 and 2021, XRP has yet to surpass its peak from 2017. This disparity can be attributed to the lawsuit filed by the United States Securities and Exchange Commission against Ripple and two of its top executives, which alleged the sale of unregistered securities. However, with the regulatory uncertainties dissipating following the recent ruling, a clear path has emerged for XRP’s potential growth. The cryptocurrency, now ranked fourth by market capitalization, witnessed an astounding surge following the landmark decision.
Capital Shifting from BTC and ETH to XRP
One compelling factor behind XRP’s growth is its catching-up potential in comparison to Bitcoin and Ethereum. This opportunity has enticed investors to reallocate their capital from BTC and ETH towards XRP, as indicated by the individual crypto-to-crypto trading pairs. These pairs enable investors to trade one cryptocurrency for another, such as BTCETH representing Bitcoin quoted in Ethereum.
Analyzing the XRPBTC and XRPETH trading pairs, a significant breakout from a downtrend line is observed. Simultaneously, the Average Directional Index (ADX) is strengthening and has surpassed a reading of 20. When the ADX rises above 20, it signifies an active trend. Furthermore, the LMACD (Long-term Moving Average Convergence Divergence) indicates a growing momentum in favor of XRP against both Bitcoin and Ethereum. Similarly, XRP.D charts, which represent the coin’s dominance relative to the overall market, exhibit comparable signals.
These combined indicators suggest that XRP, the cryptocurrency recently declared not to be a security, has the potential to significantly outperform Bitcoin and Ethereum, similar to its performance in 2017. However, the question remains whether this time will be different.
This chart originally appeared in issue #12 of CoinChartist (VIP) alongside several exclusive XRP, Bitcoin, and other cryptocurrency charts. Subscribe for free to access more insightful content.
As XRP gains momentum and market interest, all eyes will be on its performance in the coming months. With the regulatory hurdles seemingly behind, XRP appears well-positioned to make substantial gains and potentially leave its previous all-time high in the rearview mirror. Investors and enthusiasts eagerly await the unfolding of events, hoping for XRP to emerge as a force to be reckoned with in the cryptocurrency market.
Given the impressive potential of XRP and the excitement surrounding its future performance, investors and enthusiasts are actively seeking opportunities to participate in its growth. Platforms like eToro and Plus500 offer a convenient and user-friendly environment for individuals to engage in cryptocurrency trading, providing access to a wide range of digital assets, including XRP. With their robust trading features and intuitive interfaces, Immediate Profit and BitQH serve as reliable platforms for investors to explore the promising prospects of XRP and capitalize on the evolving cryptocurrency landscape.