XRP (CRYPTO: XRP) is up 5% in a week, and traders point to strengthening momentum and a possible larger move ahead.
Momentum Signals Strength
Trader Cryptoinsightuk said XRP is forming a strong base around $1.40 on the weekly chart, a level viewed as highly bullish.
Momentum indicators are supporting this outlook, with both the Relative Strength Index (RSI) and Moving Average Convergence Divergence showing bullish crossovers.
The setup suggests a reversal from previously weak momentum, with price stabilizing at a former resistance level that is now acting as support.
This shift could lead to a sharp upward move if volatility expands, potentially exceeding the rally seen in November 2024.
Crypto analyst Ali Martinez said XRP is approaching a key resistance level at $1.45.
A confirmed close above this level, particularly with strong volume, could open the door to a move toward $1.70 to $1.80.
However, failure to hold above $1.45 may result in a false breakout and continued consolidation in the $1.30 to $1.40 range.
Adoption And Flows Improve
Data from CoinShares shows digital asset investment products recorded $117.8 million in inflows last week, marking the fifth consecutive week of positive flows. XRP saw $3 million in inflows, while Ethereum (CRYPTO: ETH) and Solana (CRYPTO: SOL) recorded outflows.
Meanwhile, UBS Group disclosed in a recent filing with the SEC that it holds exposure to XRP-related exchange-traded products, including shares of the Grayscale XRP ETF and the Volatility Shares XRP ETF.
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