Ripple (XRP) Rebounds with 200-Day Line Support… Will it Rise to $1.50?

▲ Ripple (XRP) ©Go Dasol

XRP (Ripple) recovered to $1.36 using the 200-day Exponential Moving Average (EMA) as a foothold, but outflows from spot ETFs and Middle East tensions remained a burden for further upside.

According to investment media FXStreet on September 3 (local time), XRP traded above $1.36, boosted by a broad uptrend in the cryptocurrency market. However, the market's risk-averse sentiment persists, with investors showing caution as conflicts between the US and Iran re-escalate.

US-listed XRP spot ETFs saw a net outflow of $7 million on the 2nd, breaking an 11-consecutive-trading-day streak of inflows. According to SoSoValue, cumulative net inflows increased to $1.68 billion, up from $1.51 billion in early August, and total Assets Under Management (AUM) also expanded from $1 billion to an average of $1.42 billion during the same period. Analysis suggests that if capital inflows resume, the possibility of recovering $1.40 and $1.50 in sequence could increase.

Retail investor demand maintained a relatively stable trend. Perpetual futures Open Interest slightly decreased to 2.25 billion XRP from 2.26 billion XRP the previous day. However, this is lower than the 2.78 billion XRP recorded on the 15th of last month. FXStreet explained that sustained retail investor interest is necessary to support a short-to-medium-term recovery.

Technically, the 200-day EMA at $1.35 is acting as a key support level. The 50-day and 100-day EMAs also support the medium-term upward structure at $1.22 each. The Moving Average Convergence Divergence (MACD) has fallen below the signal line and turned negative, but the Relative Strength Index (RSI) remains around 60, indicating that the bullish advantage has not been entirely exhausted. If XRP settles above $1.36, it can continue its upward trend, but if the daily closing price falls below $1.35, the possibility of a correction towards the $1.22 EMA support zone could increase.

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