Ripple (CRYPTO: XRP) rose for a second straight day, reaching its highest level since Tuesday and climbing 15% from this week’s low. The rebound could continue after the token formed a bullish flag pattern and as inflows into its exchange-traded funds (ETFs) kept rising.
XRP Price Rebounding Amid the Crypto Market Rally
XRP token continued rising on Saturday as the crypto market rally intensified. Bitcoin (CRYPTO: BTC) price crossed the important resistance level of $81,000, while Ethereum (CRYPTO: ETH) jumped above $2,600. The market capitalization of all cryptocurrencies jumped to $2.8 trillion, while the Altcoin Season Index has continued to soar.
XRP’s fundamentals are also improving. For example, spot XRP ETFs continued to add assets this week, a sign that American retail and institutional investors expect it to keep rising. The funds have added $41 million in inflows this month, continuing a winning streak that started in April this year.
Ripple USD (CRYPTO: RLUSD) has continued to add assets this month. The stablecoin now has $2.37 billion in assets, with $1.03 billion being on the XRP Ledger and the rest being on Ethereum (CRYPTO: ETH). This performance is a sign that XRPL’s utility is growing.
Ripple Labs believes that RLUSD will continue growing, driven by key areas like corporate treasury, payroll, and cross-border payments. A surge in usage will lead to more fees, which will translate into more XRP burns.
XRP price has also jumped because of the rising volume and open interest. Its 24-hour volume rose by 2.7% to $4.07 billion, with its futures open interest rising to over $2.7 billion.
Ripple Price Technical Analysis Points to More Gains
Technicals, especially on the daily chart, suggest that the XRP price has more gains to go. It formed a morning star candle on September 16. This pattern is made up of a small body and small upper and lower shadows, and is one of the most bullish reversal signs in technical analysis.
The token is in the process of forming a bullish flag pattern. This pattern happens after a strong rally followed by a descending channel. It is now trading along the upper side of the descending channel.
XRP is about to form a golden cross pattern as the spread between the 50-day and 200-day Exponential Moving Averages (EMA) narrows. Therefore, this pattern points to a strong bullish breakout, potentially to last month’s high of $1.70. A move above that level will point to more gains to $2.
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