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In the early hours of October 29, the price of XRP approached the $0.53 challenge, indicating 7.4% gains over four days in a row. Following weeks of falling behind the market average, on-chain data trends suggest that higher network utilization and more leverage applied to XRP LONG bets may push prices higher before the US elections.
XRP Daily Network Usage Has Surged 110% since RLUSD stable Coin Launch
With a remarkable 4-day winning streak, the price of XRP surged 7.4% to achieve a new weekly period peak of $0.53 on October 29. The price of XRP fell to a multi-month low of $0.49 on Friday, just before the current rebound phase, raising concerns about significant long liquidations.
On-chain data indicates that the Ripple-backed coin is being driven by further internal bullish catalysts this week, even though this fast rebound phase has coincided with big crypto-assets like Ethereum ETH and Bitcoin BTC.
XRP Funding Rate Hits 2024 Peaks as Bulls Gain Control
It is not unexpected that XRP futures markets have started to draw a greater flow of favorable bets now that investors know the ecosystem expansion prospects from the RLUSD's first appearance. At the time of publication on October 29, the XRP funding rate was trending at 0.14%.
Over the past 48 hours, bull traders have increased their leverage by 100%, driving financing rates to their highest level since June 2023. A rise in the funding rate frequently indicates that traders place bets on the favorable effects of a well-received product launch when it occurs with a significant increase in network demand.
XRP Price Forecast: $0.55 Resistance at Risk
The debut of the RLUSD stable coin seems to have caused a jump in network traffic, and trader's expectations of future expansion have led them to put in more positive bets this week. As the price of XRP moves near the $0.57 region, the 7.44% price rebound seen on October 29 may progress into double digits in the days ahead if these favorable changes in network utilization and LONG leverage continue.
The 20-day moving average is in line with this $0.53 resistance level. If it is breached, this might pave the way for a significant breakthrough to the next psychological level of $0.57. In addition, there is potential for more purchasing momentum as the RSI is currently at 44.45, just below the neutral 50 mark.
XRP Price Action
After gaining 0.46% from the previous session, XRP saw a 1.72% increase on Tuesday, October 29, finishing at $0.5278. XRP stayed below the critical $0.55 mark for the eighth straight session, even though it increased its winning run to four sessions. BTC and the larger cryptocurrency market, which increased by 3.33% and reached a market valuation of $2.303 trillion, outperformed XRP.
Growing confidence that Trump will win an election again may increase demand for XRP. The SEC's appeal against decisions in the Ripple case may stop when Trump declared he would dismiss SEC Chair Gensler on the first day of his tenure. The SEC may be able to pursue its appeal if Trump's electoral odds decline, which might cause XRP to fall below $0.50.
