Ripple’s native token XRP is looking bullish again.
The fourth-largest cryptocurrency by market capitalization was among the best performers Thursday as its price swelled by almost 24 percent in the previous 24 hours. The XRP/USD exchange rate established a new weekly high at $0.585, its gains driven alongside a general upside narrative across the cryptocurrency market.
The XRP pump began after Bitcoin, the world’s leading cryptocurrency by market valuation, jumped above a sough-after resistance level of $20,000. The BTC/USD’s upside move influenced rival tokens to tail the trend thanks to its long-standing positive correlation with top-cap altcoins.
Bitcoin corrects lower from its record high at $23,776. Source: BTCUSD on TradingView.com
For instance, the second-largest token, Ethereum, jumped 11.29 percent under Bitcoin’s influence.
But XRP’s gains outran others. That could be due to a recent partnership between IBM and Expertus Technologies, a Canadian fintech startup actively experimenting with XRP-backed Ripple Labs’ payment solutions.
Meanwhile, XRP may have also front-run the rally because it was already available cheaper than the other top tokens, especially after its 45 percent price crash from its yearly high of $0.79. Traders apprehensively anticipated an altcoin market bull run following Bitcoin’s move towards $20,000, focusing majorly on XRP for its cheaper valuation than the rest of the top-tier coins.
XRP Technical Outlook
The XRP/USD exchange rate jumped above a short-term descending trendline following its move Thursday, raising expectations of an extended upside run in the coming daily sessions.
It is because of the formation of two converging bullish patterns: a Falling Wedge and a Descending Parallel Channel. Both the technical indicators have the common resistance trendline (the one mentioned…