XRP bulls seem to be enthusiastic about the recent market-wide recovery initially triggered by Bitcoin price’s uptick to $28,000. In the past 24 hours, the cross-border money remittance token has gained 3.7%, bringing its cumulative weekly growth to 6.6%. If this aggressive push by XRP bulls continues, the sixth-largest crypto, with a market capitalization of $27 billion, may cultivate a cup and handle a breakout to $0.76. However, XRP price must first reclaim the $0.55 resistance to clear the path for the 39.5% breakout.
Ripple, the company behind XRP, continues to expand its global presence despite battling a lawsuit for nearly three years. The latest achievement for the international blockchain-powered payments network is the in-principle approval for a Major Payments Institution License from the Monetary Authority of Singapore. This approval will enable a domestic affiliate to roll out authorized digital payment token solutions and offerings within the metropolitan state, allowing the firm to expand customer utilization of its crypto-facilitated On-Demand Liquidity (ODL) service.
Brad Garlinghouse, Ripple’s CEO, praised Singapore for being a global leader in recognizing the innovation and real-world utility of digital assets and their benefits to the global financial system. Ripple’s entrance into Singapore comes amid a strained relationship with US regulatory agencies like the Securities and Exchange Commission (SEC), which Garlinghouse believes is stifling innovation in the US.
As XRP price has reclaimed resistance at $0.5 and is trading at $0.516, its least resistance path now lies upwards. The formation of a cup and handle pattern implies that XRP is approaching a critical juncture. If this breakout is validated, it could send the XRP price soaring to $0.76, bringing the psychological resistance at $1 within reach.
Additionally, a breakout of this magnitude from $0.55 would likely attract more buyers into the market due to fear of missing out (FOMO). Providing further support to the bullish outlook is an incoming buy signal from the Moving Average Convergence Divergence (MACD) indicator.
With XRP price currently sitting comfortably above the applied moving averages, including the 200-day EMA, the 100-day EMA, and the 50-day EMA, a more bullish weekend seems plausible. According to the Money Flow Index (MFI), more funds are currently flowing into XRP markets compared to the money flowing out, indicating a potential rally in the coming days.
Source: Coingape
