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Image by salesblog.at from PixabayKey Takeaways
• Ripples XRP’s strategic moves in 2024 fuelled the rally early in January, with the altcoin leading other cryptocurrencies with a 12% growth rate.• Technical indicators are bullish as XRP continues to destroy psychological resistance levels.
• Global adoption is a plus for XRP as Upbit, South Korea’s largest crypto exchange, records a $1.3 billion trading volume in 24 hours.XRP has started 2025 on a high note, trading at $2.40. The altcoin’s new year was characterized by a 12% increase on January 1st, leaving Bitcoin and Ethereum in the dust.
Key Milestones Setting The Stage For Ripple
In 2024, Ripple made strategic moves that would ensure the altcoin was not just here to stay but to put up a fight. For instance, Ripple’s acquisition of standard custody earlier in the year ensured they would get the U.S. charter for institutional adoption. This charter positioned XRP as reliable for financial institutions like banks and hedge funds.
In addition, the charter increased XRP adoption in the broader digital space. Investors were previously cautious of cryptocurrency due to its volatility, security, and regulatory issues but have renewed confidence in it.
Technical Indicators Support XRP’s Momentum
XRP recently broke through one of the key resistance levels ($2.30). Analysts say strong indicators indicate a bullish pattern forming, and XRP could break out soon.
Analysts also note that a golden cross is forming, where the 9-day moving average dashes above the 21-day moving average. A golden cross is usually a key indicator of a sustained upward trend.
The Relative Strength Index (RSI) remains conservative at 58, signaling moderate momentum with room for improvement.
The market sentiment remains positive, with the Market Value to Realised Value ratio at 314.74%. While the MVRV is usually a profit-taking phase, the sustained momentum of XRP suggests confidence by both retail and institutional investors.
South Korea Leads The Front Line in XRP’s Global Adoption
In recent weeks, XRP has seen increased global adoption, with 26,144 active wallets. Analysts attribute this increase to South Korea’s XRP network. The country’s largest crypto exchange, Upbit, recorded a trading volume of $1.3 billion in 24 hours.
This figure is roughly 12% of XRP’s trading volume in the same period. In addition, the surge increased the total market volume by 146% to hit the $11 billion mark. According to analysts, the rise in liquidity will continue to attract more institutional and retail investors, driving XRP’s price higher.
XRP Will Face Challenges
Despite the altcoin’s impressive rally, there are a few hurdles to overcome in the coming weeks. According to analysts, the next resistance level is at $2.59. If XRP can clear this price point, we could see the coin rally further to smash the $3 mark.
However, the Daily Active Address Divergence indicator is at -316%. This negative figure usually forecasts that a downward trend is looming. However, this indicator does not mean the current rally will derail. If broader market sentiments are correct, investors don’t have much to worry about.
Conclusion
The broader market sentiment suggests that XRP will have a good year after its great start. Analysts are betting on the coin retesting its December highs at $2.62 and possibly rallying toward the $3 mark.
Investors should monitor the SEC’s regulatory atmosphere regarding spot ETFs. If the regulations are favorable, they could attract more institutional and retail investors, increasing XRP’s value.
Ripple’s XRP Leads in The Crypto Rally: South Korea Interest, Institutional and Global Adoption was originally published in The Capital on Medium, where people are continuing the conversation by highlighting and responding to this story.
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