Ripple (XRP) Price Analysis: Will XRP Reach $0.70 in August 2024?

XRP Price Analysis:

XRP price broke above the $0.65 mark on July 31, reflecting a remarkable 72% growth over the last 20 days of trading. On-chain data reveals that bulls have taken advantage of improved market liquidity, driven in part, by Donald Trump’s recent bullish comments on crypto.

XRP Price Breaches $0.65 Resistance

XRP’s price continued its upward trajectory with an impressive 8% rally on July 31, 2024.

This surge appears to be closely tied to Trump’s comments at the Bitcoin Nashville conference over the weekend. Since 2020, Ripple Labs has been entangled in prolonged legal battles with the SEC under Gary Gensler’s leadership.

However, with Joe Biden stepping down from the re-election race, Trump’s favourable stance on crypto has buoyed investor sentiment around assets like XRP, which have historically suffered due to regulatory concerns and legal issues.

The chart shows a 10.5% gain in XRP within a 24-hour period on July 31, translating to a substantial 72% increase since July 5, 2024. This marks the first time XRP has traded above $0.65 in three months, dating back to March 25. On-chain data trends indicate that XRP might be primed for further gains in the coming days.

XRP Bulls Move To Capitalize on Improved Regulatory Sentiment

Notably, XRP deposits to Binance surpassed $2 billion amidst this 72% rally. This underscores the bullish sentiment closely tied to developments in the US 2024 Presidential campaign.

Trump’s support for Bitcoin has resonated across the altcoin markets, prompting XRP traders to inject significant liquidity into the market.

The CryptoQuant chart tracking investor holdings on trading platforms indicates a substantial increase in short-term market liquidity. As of July 1, traders held 2.68 billion XRP coins on Binance.

By July 29, this figure had risen to 3.069 billion XRP, marking a 4% increase in market supply over the last 30 days. This surge in liquidity, fueled by Trump’s bullish statements, has accelerated XRP’s ongoing price rally.

More so, the increased demand from Binance retail traders also emphasizes the  renewed interest in XRP as regulatory concerns ease up. If these momentum persists as the US elections campaigns unfold, XRP could advance towards the $0.70 territory in August 2024.

XRP Price Forecast: Rocky Ride to $0.70 in August?

XRP has demonstrated impressive growth in July 2024, surging by 72.32% in the second-half of the month as it topped out at $0.66 on Wednesday. This upward momentum is highlighted by the Parabolic SAR (Stop and Reverse) indicator, which shows a bullish trend with dots positioned below the price.

The Bull Bear Power (BBP) indicator also remains positive at 0.0323, indicating that the bulls are still in control, albeit with some signs of slowing momentum.

Despite the recent pullback of 8.87% on August 1, the overall trend remains bullish. Key support levels to watch are $0.5780, as indicated by the Parabolic SAR, and the psychological level of $0.5500.

If these support levels hold, XRP could consolidate before making another attempt to breach the $0.65 resistance level, which has proven to be a significant hurdle in the past.

On the upside, the primary resistance level to monitor is $0.65, which XRP needs to overcome to continue its bullish run. A successful break above this level could set the stage for a rally towards the $0.70 mark. The increased trading volume and sustained bullish sentiment, as reflected in the BBP indicator, suggest that such a move is within reach if market conditions remain favorable.

In conclusion, while XRP faces a rocky path ahead with potential volatility, the technical indicators point to a bullish outlook. As long as XRP maintains support above $0.5780 and gains momentum to break past $0.65, a steady climb towards $0.70 in August could be on the cards.