Cryptos Surge on Jerome Powell’s Remarks
Ripple price joined the rest of its cryptocurrency counterparts in surging through the charts. XRPUSD finished yesterday’s trading with an 8.26% gain at $0.3053. As of this writing, ripple price is up by another 6.47% as it trades at $0.3256.
As reported by my colleague Nikolas Papas yesterday, the rally in cryptocurrencies can be attributed to remarks by Federal Reserve Chairman Jerome Powell. In his statement at Congress, he said that the central bank is exploring its options in creating a digital currency. He went so far as to say that “every major central bank is taking a deep look.” Consequently, cryptocurrencies like bitcoin, ethereum, and ripple price benefited from his statement.
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Ripple Price Outlook
$0.3150 was a major resistance level for XRPUSD. The price served as support in late 2018 and resistance in October of 2019. Now that it has been broken, along with resistance at the falling trend line, where will XRPUSD head to? A look at the weekly chart shows that the next major resistance level is around $0.4500 where ripple price peaked on Q3 2019.
Ripple Price Chart, Weekly
However, as it often happens after a strong bullish run, we could see some pullback on XRPUSD before staging another rally. By connecting the lows of January 24, February 2, February 4, and February 11, we can see that the cryptocurrency can fall to $0.2870 and still maintain its uptrend.