Ripple Price Forecast: XRP recovery gains traction as ETF inflows return
- XRP ticks higher and trades near $1.54 on Friday as the broader crypto market sentiment improves.
- US-listed XRP spot ETFs recorded over $4 million in inflows on Thursday after two days of muted activity.
- Technically, major moving averages continue to rise, supporting XRP’s constructive structure and recovery potential.
Ripple (XRP) edges higher, trading around $1.54 at the time of writing on Friday as bullish pressure intensifies across the crypto market. This recovery from weekly lows of $1.47 underscores growing appetite for crypto assets and the shift in market sentiment, with focus staying on the United States Federal Reserve (US) monetary decision later this month.
Market sentiment holds firm amid returning capital inflows
Investor appetite for digital assets remains robust, as evidenced by the crypto Fear & Greed Index holding firm at 72 in Greed territory on Friday, only slightly below the previous day’s reading of 74. This persistent optimism signals a meaningful shift in market sentiment, increasing the likelihood of sustained upside momentum.
US-listed XRP spot Exchange-Traded Funds (ETFs) recorded $4 million in inflows on Thursday after muted activity on Wednesday and Tuesday. Through Thursday, weekly inflows average $8 million, according to SoSoValue, suggesting declining institutional interest. Looking back, last week's inflows totaled $76 million. Moreover, cumulative inflows stand at $1.79 billion with net assets under management at $1.69 billion.
The immediate focus remains on the US Nonfarm Payrolls (NFP) report, due Friday. Market consensus remains that softer-than-expected inflation would reduce expectations of an October rate hike.
“A strong payrolls number would reinforce the view that economic growth remains resilient and could keep upward pressure on Treasury yields,” Crypto Finance said in an emailed market analysis report, adding, “conversely, a softer report would support the argument that disinflation is progressing without a meaningful deterioration in economic activity."
Technical analysis: XRP reclaims key support
XRP at $1.54, extending its advance well above the main Exponential Moving Averages, which keeps the near-term bias bullish. Price holds over the 50-day EMA at $1.38 and the 200-day EMA at $1.37, while the 100-day EMA at $1.32 and the SuperTrend line at $1.28 track far below as trend support.
Momentum remains constructive, with the Relative Strength Index (RSI) around 60 suggesting sustained buying pressure, although the slightly negative Moving Average Convergence Divergence (MACD) near the zero line hints at a moderating upside swing rather than an outright reversal.
On the downside, immediate technical footing lies at the former break area of the rising support trendline near $1.40, followed by clustered dynamic demand at the 50-day EMA at $1.38 and the 200-day EMA at $1.37. Deeper pullbacks would expose the 100-day EMA at $1.32, then the SuperTrend baseline at $1.28, where a stronger medium-term floor lies.
With no clear overhead levels on the daily chart, the pair would likely need a decisive break back below the $1.40-$1.38 region to weaken the prevailing bullish structure on the daily timeframe.
On the weekly chart, XRP similarly retains a constructive bullish bias as price holds above the 50-week EMA at $1.52 and the longer-term 200-week EMA at $1.37. The SuperTrend line at $0.96 sits well below the market, reinforcing a medium-term uptrend, while the RSI at 57 leans bullish without being overbought.
The MACD indicator stands in positive territory with a reading of $0.07, suggesting that upside momentum remains in play, even as the pair approaches thicker overhead levels. On the downside, initial support emerges at the 50-week EMA near $1.52, followed by a more strategic floor at the 200-week EMA around $1.37, ahead of the broader trend support marked by the SuperTrend line close to $0.96.
On the topside, the first notable resistance is the 100-week EMA at $1.58, and a sustained break above this barrier would likely open the way for a continuation of the recent advance, keeping the overall bullish structure intact.
(The technical analysis of this story was written with the help of an AI tool. Know more.)
Crypto ETF FAQs
An Exchange-Traded Fund (ETF) is an investment vehicle or an index that tracks the price of an underlying asset. ETFs can not only track a single asset, but a group of assets and sectors. For example, a Bitcoin ETF tracks Bitcoin’s price. ETF is a tool used by investors to gain exposure to a certain asset.
Yes. The first Bitcoin futures ETF in the US was approved by the US Securities & Exchange Commission in October 2021. A total of seven Bitcoin futures ETFs have been approved, with more than 20 still waiting for the regulator’s permission. The SEC says that the cryptocurrency industry is new and subject to manipulation, which is why it has been delaying crypto-related futures ETFs for the last few years.
Yes. The SEC approved in January 2024 the listing and trading of several Bitcoin spot Exchange-Traded Funds, opening the door to institutional capital and mainstream investors to trade the main crypto currency. The decision was hailed by the industry as a game changer.
The main advantage of crypto ETFs is the possibility of gaining exposure to a cryptocurrency without ownership, reducing the risk and cost of holding the asset. Other pros are a lower learning curve and higher security for investors since ETFs take charge of securing the underlying asset holdings. As for the main drawbacks, the main one is that as an investor you can’t have direct ownership of the asset, or, as they say in crypto, “not your keys, not your coins.” Other disadvantages are higher costs associated with holding crypto since ETFs charge fees for active management. Finally, even though investing in ETFs reduces the risk of holding an asset, price swings in the underlying cryptocurrency are likely to be reflected in the investment vehicle too.
추천 기사
