Mitrade Insights is dedicated to providing investors with rich, timely and most valuable financial information to help investors grasp the market situation and find timely trading opportunities.

2021

Best News & Analysis Provider

FxDailyInfo

2022

Best Forex Educational Resources Global

International Business Magazine

Insights

News

Cryptocurrencies

Ripple (XRP) Price Boosted by Upcoming August Token Unlock

Source Beincrypto

Blockchain payment project Ripple will unlock 1 billion XRP tokens on August 1. This is part of its usual monthly practice based on its objective to put 55 billion XRP tokens in escrow over several years.

At press time, the unlock tokens will cost $603 million. Interestingly, as the event approaches, the XRP price is surprisingly increasing.

Interest in Ripple Surges, Profit-Taking Drops

The monthly XRP unlocks date back to 2017. According to Ripple, the mechanism is part of its mission to alleviate the pressure on the token, especially as it has an extremely vast supply. Sometimes, the unlock brings about a stalemate in XRP’s price or a slight drop.

Therefore, if the price continues to rise for the next two days, the August one may differ. The daily on-chain transaction volume in profit supports this bias. This volume gauges the number of transactions involved in realized profits.

Typically, an increase in realized profits puts downward pressure on the price of a cryptocurrency. However, for XRP, it is different because, on July 29, the volume in profit was over 480 million. But as of this writing, it is two times less, indicating that profit-taking has decreased.

Read More: Everything You Need To Know About Ripple vs SEC

XRP On-Chain Transaction Volume in Profit. Source: Santiment

Low profit-taking may offer price stability. Hence, if token holders refrain from booking gains in the coming days, XRP’s price may trade higher than $0.63.

Additionally, Open Interest in the Ripple native token has increased to its highest level since April 16. At press time, the OI, as it is fondly called, is $667.68 million. Open Interest refers to the sum of the value of open contracts in the market.

Thus, the hike indicates rising net positioning and speculative activity around XRP. OI also impacts price, as an increase alongside a price upswing indicates aggressive buyers. Should the value continue to jump, it may offer an impulsive breakout for XRP.

XRP Open Interest. Source: Santiment

XRP Price Prediction: A Rise Against the Odds

According to the daily chart, XRP formed a symmetrical triangle, which was crucial to the recent engulfing candlestick, which quickly pushed the price up from $0.59 to $0.60. A symmetrical triangle appears when two trendlines with equal opposite slopes converge.

Depending on the direction of the cryptocurrency, this narrow pattern may result in a breakdown or breakout. For XRP, the latter is the case, indicating that bulls control the prevailing trend. Interestingly, the price action contrasts with the trend of Bitcoin (BTC) and other cryptos.

The last time this happened was in early July, and XRP produced 40% within a few days. At press time, the Relative Strength Index (RSI) is 66.94, indicating that the momentum around the token is bullish.

Should this continue, XRP’s price may surpass $0.65 in the short term. Further, if August brings good tidings, the token’s price could attempt to reach its yearly high of $0.72.

Read More: Ripple (XRP) Price Prediction 2024/2025/2030

XRP Daily Analysis. Source: TradingView

There have also been some analyst predictions on X. Notably, BeInCrypto picked one from pseudonymous trader Mikybull, who opined that XRP displays signs similar to the 2017 bull run.

“XRP displays significant technical signs that occurred in 2017 and led to massive gains afterward. Historically, the chart always precedes the news,” he explained.

However, if profit-taking occurs, the token may not be able to sustain this prediction. If that happens, the cryptocurrency’s price may decline to $0.60.

Disclaimer: For information purposes only. Past performance is not indicative of future results.

Recommended Articles

Fed hike odds near 90% into Wednesday's decision — how to trade the dollar, gold and the S&P 500 A 0.3% monthly core CPI print has lifted the market-implied probability of a 25bp Fed hike on 16 September to roughly 86.5% ~ 90%, which would be the first increase since July 2023. Here is the decision timeline, the pricing versus the forecasts, both scenarios, and the key levels for the dollar, gold and the S&P 500.

Author Suzie

Sep 14, Mon

A 0.3% monthly core CPI print has lifted the market-implied probability of a 25bp Fed hike on 16 September to roughly 86.5% ~ 90%, which would be the first increase since July 2023. Here is the decision timeline, the pricing versus the forecasts, both scenarios, and the key levels for the dollar, gold and the S&P 500.

【Daily Brief】10-year Treasury yield briefly tops 5%, S&P 500 slips to 7,602 and the dollar firms at 99.3 as the Fed's decision eve begins The 10-year Treasury yield touched 5.014% on Monday — its first print above 5% since October 2023 — while the S&P 500 closed 0.48% lower at 7,619.98 and the dollar index firmed to 99.3. Here is the full market wrap ahead of Wednesday's FOMC decision, the dot plot and the August retail sales report, plus today's CLARITY Act Senate vote.

Author Irene Q.

Sep 15, Tue

The 10-year Treasury yield touched 5.014% on Monday — its first print above 5% since October 2023 — while the S&P 500 closed 0.48% lower at 7,619.98 and the dollar index firmed to 99.3. Here is the full market wrap ahead of Wednesday's FOMC decision, the dot plot and the August retail sales report, plus today's CLARITY Act Senate vote.

Silver breaks $64 as precious metals rebound — can gold hold the $4,280 line into the Fed decision?Silver has climbed back above $64 an ounce for the first time this week, leading a broad rebound across precious metals hours before the Federal Reserve delivers what is expected to be its first rate hike since 2023. Spot silver was last at $64.64, up 1.49% on the day, while gold reclaimed $4,300 and platinum and palladium both advanced. The question now is whether the bounce is a genuine turn — or a pause before the Fed's dot plot decides the next move.

Author Suzie

Yesterday 08: 40

Silver has climbed back above $64 an ounce for the first time this week, leading a broad rebound across precious metals hours before the Federal Reserve delivers what is expected to be its first rate hike since 2023. Spot silver was last at $64.64, up 1.49% on the day, while gold reclaimed $4,300 and platinum and palladium both advanced. The question now is whether the bounce is a genuine turn — or a pause before the Fed's dot plot decides the next move.

Dow drops 631 points as the Fed hikes — but futures are rebounding: what's next for US stocks?The Dow fell 631 points and the S&P 500 closed below 7,600 after the Fed hiked rates for the first time since 2023, with the dot plot showing 16 of 18 officials expect more tightening. Asia-session futures are already recovering — here are the levels and analyst views that decide whether 7,500 holds.

Author Irene Q.

12 hours ago

The Dow fell 631 points and the S&P 500 closed below 7,600 after the Fed hiked rates for the first time since 2023, with the dot plot showing 16 of 18 officials expect more tightening. Asia-session futures are already recovering — here are the levels and analyst views that decide whether 7,500 holds.

Dollar index tops 100 for the first time since July as the Fed's hawkish dot plot sinks in The U.S. dollar index broke back above 100 for the first time since 31 July after the Fed delivered its first rate hike since 2023, with the dot plot showing 16 of 18 officials expect at least one more increase this year. Here are the levels that matter for DXY, the currencies feeling it most, and what to watch next.

Author Irene Q.

12 hours ago

The U.S. dollar index broke back above 100 for the first time since 31 July after the Fed delivered its first rate hike since 2023, with the dot plot showing 16 of 18 officials expect at least one more increase this year. Here are the levels that matter for DXY, the currencies feeling it most, and what to watch next.

Popular Symbols