Despite the rough start to the year, a recent report from CoinShares showed that the token did well in 2023 in terms of capital allocated to exchange-traded products (ETPs).
XRP plummeted 10% in the last 24 hours. However, XRP proponents believe that the price could rise soon. Like other major cryptocurrencies, the price of XRP, the native token of blockchain payments company Ripple, decreased significantly on January 3.
Recently, the value of XRP had decreased by 10.02% in the last 24 hours. The price of XRP at the time of writing was $0.57. This drop indicated that the selling pressure was enough to break the psychological support of $0.60.
XRP in 2023
CoinShares is a leading digital asset investment company. Every week, it reports on the fund flows obtained by cryptocurrency investment products.
According to the annual report published on January 3, CoinShares noted that XRP inflows increased from the previous year. In 2022, the total flow of funds linked to the token amounted to $9 million. However, in 2023, the value increased twice as much as to $18 million. The notable influx was a sign of investors’ belief that XRP had once again become a promising asset.
Although inflows were slow at the beginning of the year, Ripple’s partial victory over the SEC fueled an increase in fund flows. As a result of the ruling, the price of the token exceeded $0.90. This increase was also instrumental to the 68.94% experienced throughout 2023.
Despite last year’s impressive performance, it looks like 2024 could be a bit challenging considering what happened in the first week.
Now It’s Not the End of the XRP Army
However, members of the popular XRP army believe that the cryptocurrency’s potential remains bullish. For example, Egrag Crypto, a trader and holder of XRP, shared details of his analysis with the community. According to him, the technical setup showed that the token could move as high as $1.80 at one point.
On January 4, Egrag Crypto, a well-known crypto analyst who specializes in XRP, posted the following on X (formerly Twitter):
“#XRP Structural, Sentiment, & Psychology Analysis (Update):
Even if #XRP did the below green move, it will be one of the most #Bullish Set ups.
#XRPArmy STAY STEADY, because now temptation to surrender starts to encroach your thoughts.
#XRPArmy STAY STRONG.”
In another post, Egrag Crypto mentioned that the XRP price could rise soon. He also noted that a retest of $0.55 could be the catalyst the cryptocurrency needs to pull back north.
Overselling is not that bad for XRP, as the sellers could become exhausted and if the bulls take advantage of the move, the price may recover. Furthermore, the volatility around the token increased, as indicated by the Bollinger Bands (BB). The BB also confirmed the RSI overbought signal as the lower band touched the token price.
For the time being, XRP might find it difficult to recover to the $0.60 region. A price jump remains an option for the cryptocurrency. However, current market sentiment showed that the revival might not be quick.
XRP Forecast
According to CryptoPredictions, XRP started January 2024 at $0.61355606010666 and is forecast to end the month at $0.72806577251984. During January, the expected high price of XRP is $1.015 and the low is $0.61355606010666.
The XRP price for today (05.01.2024) is forecast to be in the price range of $0.53669915450944 – $0.78926346251388. XRP price is expected to end at $0.63141077001111 today.
By Audy Castaneda
