TL;DR
- XRP recorded an 18.46% weekly surge, outperforming BTC’s 13.01% and ADA’s 8.47%.
- Despite the rally, trading volume decreased by 20.33%, suggesting short-term caution.
- Technical analysis points to a potential breakout of over 13% that could push XRP towards the $3 level.
A strong XRP rally manages to crush ADA and BTC in weekly gains. In a remarkable display of resilience amidst general market volatility, XRP has captured investors’ attention by posting weekly gains that eclipse those of heavyweights like Bitcoin (BTC) and Cardano (ADA).
XRP’s price surged 18.46% in the last week, according to CoinMarketCap data, a momentum that keeps it above the $2 level and suggests greater strength than its main competitors.
XRP outpaces BTC and ADA in weekly gains with a significant difference. While the flagship crypto asset, Bitcoin, achieved a 13.01% climb during the same period, XRP’s gain surpassed it by more than 5 percentage points. Cardano, for its part, showed single-digit growth, reaching 8.47%.
The Hidden Warning Behind XRP’s Growth
Despite this exceptional performance, which positions XRP with superior rebound potential compared to BTC and ADA, there is a caveat that keeps investors cautious. The rally has not been accompanied by active demand in the short term. Trading volume decreased by 20.33%, standing at $3 billion at press time.
If market participants continue to stay on the sidelines and volume does not turn green, XRP’s momentum could fade. For the price to maintain its bullish trajectory, a spike in demand is needed. In fact, the community has resorted to the burn mechanism to reduce the circulating supply, causing the deflationary rate to jump by over 31% in an effort to curb selling pressure.
Technically, the altcoin appears to be prepping for a potential 13%+ rally. The Bollinger Bands indicators show that XRP is stuck in the midbands, signaling a possible accumulation before a seasonal breakout that could push prices closer to the coveted $3 level, a level not recovered since the October market crash.
In summary, XRP outpaces BTC and ADA in weekly gains momentarily, but the key to continuation lies in the liquidity entering the market.
