TL;DR
- Ripple’s XRP saw a significant drop to $0.43 but quickly rebounded to $0.51, with active XRP accounts increasing by 45% on a 24-hour scale.
- Analysts envision a potential bull run for the asset, but some caution that staying below the $0.54 EMA could be followed by another pullback.
This Indicator Headed North
Ripple’s XRP was severely affected by the crypto market crash witnessed on Monday (August 5). Its price plummeted to a one-month low of approximately $0.43 (per CoinGecko’s data), while the market capitalization tumbled below $25 billion.
The landscape drastically changed the following day, with XRP recovering some of the losses and spiking to $0.51, a valuation observed at the time of writing this article.
The resurgence coincided with the spike of an important metric. Data shows that the number of active XRP accounts soared by 45% daily to reach almost 16,000 on August 6. The figure has not reached such a level since the beginning of May.
The metric’s rise could indicate several things, including increased user adoption and a growing network, which are crucial for the long-term sustainability and security of the cryptocurrency. This could be interpreted as a sign of confidence and may lead to more investors hopping on the bandwagon.
Further XRP Rally on the Horizon?
Numerous crypto enthusiasts have noted XRP’s revival recently, speculating that a potential bull run is just around the corner.
The X user Dark Defender outlined the “bullish hammer” on the asset’s price chart amid the recovery, reminding that the same scenario was observed in March 2017 or just three weeks before a massive rally.
CRYPTOWZRD chipped in, too, claiming that XRP closed August 6 “bullish,” expecting a further pump in the near future.
“We should see a further bullish outcome from the current location, although XRPBTC should take more control soon. Our current trade is secured, and I will be looking to get the next trade,” the analyst added.
On the opposite side, some warned about another possible pullback in the following weeks. Jeff Moore claimed that “a bear flag price pattern” might be formed should XRP stay below the Exponential Moving Average (EMA) of around $0.54. Still, breaking above that mark could lead to a 25% pump:
“If we break the EMA’s and hold, then back to 0.64c we go! Stay strong, XRP holders.”
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