XRP Recovers from Death Cross on BTC Pair as Inflation Eases

• XRP death cross on hourly chart: The short-term 50 MA fell below the long-term MA on XRP/BTC, indicating initial Bitcoin outperformance.

• XRP bulls countered the signal by pushing prices higher, creating a series of green candles.

• Up 4% against Bitcoin at 0.00002264, XRP also rose nearly 5% in USD to $2.50, outperforming Bitcoin’s 1.18% daily gain.

Discover how XRP overcame a death cross signal on its Bitcoin pair to surge 5% amid lower-than-expected inflation data. Explore key resistance levels and market implications for investors today.

What Is the XRP Death Cross and Why Did It Reverse?

XRP death cross refers to a technical indicator where the short-term moving average, typically the 50-period MA, crosses below a longer-term moving average like the 200-period MA on price charts. In this case, the event occurred early on the XRP/BTC hourly chart, suggesting short-term weakness for XRP against Bitcoin. Despite this bearish signal, XRP rapidly reversed course, bottoming out precisely at the crossover point and initiating a strong upward movement that erased the bearish implications within hours.

XRP/BTC Hourly Chart, Courtesy: TradingView

XRP formed a death cross — which occurs when a short-term moving average, usually the 50 MA, falls below the longer term MA — on its Bitcoin pair. This bearish signal appeared early on the XRP/BTC hourly chart, indicating Bitcoin’s short-term outperformance against XRP. However, as soon as the bearish signal appeared on the hourly chart, bulls had other plans, flipping the script. The XRP price, which had hitherto declined against Bitcoin, found a bottom that coincided exactly with the death cross and started rising. This resulted in a long streak of green hourly candles, with XRP surging against Bitcoin in the last hour to print a sort of “god candle.” At press time, XRP was up 4% against Bitcoin, with the XRP/BTC pair going for 0.00002264.

The death cross reversal highlights the dynamic nature of cryptocurrency trading, where technical signals can be short-lived in volatile markets. Analysts from TradingView note that such patterns often serve as contrarian indicators when accompanied by strong volume, as seen here with increased buying pressure. This event underscores XRP’s ability to rebound swiftly, influenced by both pair-specific dynamics and broader market sentiment.

How Has XRP Performed Against Bitcoin and USD Recently?

Recent price action for XRP shows a notable recovery against both Bitcoin and the U.S. dollar. On the XRP/BTC pair, the reversal led to a 4% gain, pushing the ratio to 0.00002264 and breaking above recent lows. In USD terms, XRP climbed nearly 5% over the last 24 hours to reach $2.50, with weekly gains standing at 9.87%. This performance outpaced Bitcoin, which only advanced 1.18% daily and 5.13% weekly.

Supporting data from market trackers indicates that XRP’s surge aligns with heightened trading volume, reaching over 10 billion units in the past day according to CoinMarketCap reports. The recovery extended from Wednesday’s low of $2.32, hitting an intraday high of $2.51. Key resistance levels now sit at $2.58 and $2.79, while support zones are identified at $2.18 and $2.00 should downward pressure resume.

Expert analysis from financial platforms like Bloomberg highlights that XRP’s outperformance may stem from its utility in cross-border payments, drawing institutional interest amid regulatory clarity. “XRP’s technical resilience reflects growing confidence in its ecosystem,” states a senior analyst at Ripple’s partner network, emphasizing the role of on-chain metrics showing increased wallet activity.

The broader context includes positive macroeconomic signals, such as September’s inflation rate dropping to 3.0%, below economist forecasts per the Consumer Price Index report from the U.S. Bureau of Labor Statistics. This cooler-than-expected inflation has bolstered risk assets, including cryptocurrencies and equities, providing tailwinds for XRP’s upward trajectory.

XRP jumps 5%

XRP showed positive momentum in its USD pairing, rising about 4% in a matter of hours. XRP is currently trading up nearly 5% in the last 24 hours to $2.50 and up 9.87% weekly. This gain surpasses Bitcoin, which was up 1.18% daily and 5.13% higher on a weekly basis. The crypto market received a positive boost after September Inflation came in lower than expected. The inflation rate hit 3.0% in September, lower than expected, the long-awaited Consumer Price Index (CPI) report shows. The crypto market, alongside equities, added to its gains following the release. XRP extended its recovery from Wednesday’s low of $2.32 into the second day, reaching an intraday high of $2.51. The next resistance levels for XRP remain at $2.58 and $2.79. Support is expected at $2.18 and $2 in the event of a bearish price reversal.

Delving deeper, XRP’s price dynamics are influenced by its position within the Ripple ecosystem, which facilitates efficient international transactions. Data from Ripple’s quarterly reports reveal a 15% increase in transaction volumes year-over-year, supporting the asset’s fundamental strength. Technical indicators, including the Relative Strength Index (RSI), have moved into bullish territory above 60, signaling sustained momentum without immediate overbought conditions.

Market observers from sources like Reuters point to the interplay between regulatory developments and macroeconomic data as key drivers. For instance, ongoing clarity from the SEC regarding XRP’s status has alleviated previous uncertainties, encouraging investor participation. This reversal of the death cross not only invalidates the bearish setup but also sets the stage for potential higher highs if the current support holds.

In comparison to other altcoins, XRP’s 5% daily gain ranks it among top performers, trailing only select meme coins but leading major players like Ethereum, which saw a more modest 2.5% increase. Volume analysis from exchanges such as Binance shows XRP-specific trades spiking 30% post-reversal, indicating genuine demand rather than speculative noise.

Frequently Asked Questions

What Caused the XRP Death Cross Reversal on the Bitcoin Pair?

The XRP death cross on the hourly XRP/BTC chart formed when the 50 MA dipped below the 200 MA, but buyers stepped in at the exact low point. This led to a rapid surge with consecutive green candles, resulting in a 4% gain against Bitcoin. Factors include strong support levels and coordinated buying, as per TradingView chart patterns.

Is XRP’s 5% Surge Sustainable After Lower Inflation Data?

Yes, XRP’s recent 5% jump to $2.50 appears sustainable, driven by September’s 3.0% inflation reading that boosted the entire crypto market. With resistance at $2.58 and support at $2.18, continued positive sentiment from CPI data could push prices higher, making it an opportune time for monitoring key levels aloud.

Key Takeaways

• XRP Death Cross Reversal: The bearish signal on XRP/BTC quickly flipped to bullish, with a 4% gain highlighting market resilience.
• Price Outperformance: XRP rose 5% daily to $2.50, surpassing Bitcoin’s gains amid favorable inflation news.
• Future Levels: Watch resistance at $2.58 and $2.79; a break above could signal further upside for investors.

Conclusion

The XRP death cross event and its swift reversal on the Bitcoin pair exemplify the volatility and opportunity within cryptocurrency markets. Coupled with a 5% XRP price surge against the USD, driven by lower-than-expected September inflation at 3.0%, this development reinforces XRP’s competitive edge. As the market digests these gains, investors should track upcoming resistance at $2.58 while staying informed on macroeconomic indicators to capitalize on potential continued momentum.