Why is XRP Up Today?

The entire crypto market turned bearish of late, with Bitcoin's [BTC] chart remaining in the red as well. However, Ripple [XRP] decoupled from the rest

Bitcoin’s [BTC] bearish trend continued on the 3rd of August, as the token registered a loss of over 2%. On the other hand, XRP bulls remained strong, helping the altcoin rise by nearly 2% in the last seven days.

In fact, XRP managed to gain over 3% in the last 24 hours alone. At the time of writing, XRP was trading at $0.647 with a market capitalization of over $35 billion. This made XRP the 6th largest cryptocurrency.

Now, let’s take a closer look to find out why XRP is up today. 

A bullish takeover in the making

Bitcoin’s price registered a slight downturn over the last 24 hours. However, XRP bulls managed to surprise investors once again as the altcoin rose by more than 2% in the last seven days.

Meanwhile, Bitcoin, the king of cryptos, witnessed a minor correction in the last 24 hours. XRP, on the other hand, gained over 3% in value during the same time period.

A look at AMBCrypto’s analysis of Santiment’s data showed that BTC’s Weighted Sentiment spiked on the 27th of July, despite the sluggish price action.

Interestingly, XRP’s sentiment began to gain bullish momentum on the 29th of July, after which its price started to rise.

This suggested that bullish sentiment around XRP started to build even before the token began rallying in price. Moreover, XRP’s Social Volume increased, reflecting a rise in its popularity. 

Source: Santiment

Why is XRP up today?

To gain a better understanding of what allowed XRP to decouple from the market, AMBCrypto then took a closer look at other key鏈上 metrics. Our analysis revealed that XRP’s trading volume surged substantially as its price increased.

Usually, a rise in trading volume during a price uptick acts as a foundation for the bull rally. Its Network Growth also saw an uptick, indicating that more new addresses were created to transfer the token.

Furthermore, XRP’s MVRV ratio also spiked, reaching a press time value of 19%. However, this value was close to the July high. When the altcoin’s MVRV had reached its July high, it soon witnessed a correction. 

Source: Santiment

In other news, Santiment posted a tweet on the 31st of July, revealing that the number of wallets holding at least 10K XRP had skyrocketed over the past five weeks, reflecting investors’ intent to accumulate. 

Check out Ripple’s [XRP] Price Prediction 2024-25

What to expect from XRP

Finally, a look at AMBCrypto’s analysis of Hyblock Capital revealed that if the bulls continue to dominate, then investors might soon witness the token touch $0.66. A breakout above that could allow the token to reach $0.69.

However, in case of a bearish trend reversal, XRP might plummet to $0.62. Going further south, its next support would be $0.61.

Source: Hyblock Capital