Armando Pantoja, a prominent analyst, is optimistic about the future of XRP and has predicted that the cryptocurrency will rebound to a price of $1.98. In a recent post to his 11.3K followers, Pantoja highlighted a surge in transaction volumes as a key indicator for this projection. According to data from Santiment, there is a strong correlation between transaction volumes and price movements.
Over the past week, XRP has experienced some volatility, with its price fluctuating between $0.46 and $0.52. The number of transactions has also been significant, ranging from 240,000 to over 350,000 daily. Notably, there was a sharp increase in transactions on May 1, which coincided with a peak in the price at around $0.52. This suggests that transaction volume could play a crucial role in influencing the price of XRP.
The rising daily transaction counts indicate that more users and entities are adopting and using the XRP blockchain network. This suggests increased engagement and activity within the XRP community.
Starting on April 29, XRP’s price was at approximately $0.501. It then experienced a slight recovery and continued to surge, reaching $0.52 by May 10.
In contrast, the number of transactions initially dipped below 240,000 on April 30 but then surged to around 280,000 on May 1. After this peak, transaction volume experienced a general decline, although it reached 352,000 by May 10. This pattern of sharp rises and falls indicates that the XRP market is responsive to both internal network dynamics and external market pressures.
Currently, XRP is trading at $0.5052, indicating a bullish trend. Technical indicators, such as the Relative Strength Index and Simple Moving Average, suggest that there is potential for future price movements.
In the broader market context, other analysts, like U-copy, have expressed similar sentiments regarding XRP’s potential. They point to a seven-year accumulation and the formation of a symmetrical triangle, which could lead to significant price movements in 2024.
The recent 12% price dip following the SEC’s legal contention against Ripple, which amounts to $2 billion, has also had an impact on XRP’s price movements. However, the underlying bullish indicators from early May indicate that XRP’s market fundamentals remain resilient.
Ripple’s partnership with Tranglo further demonstrates its influence in the payment solutions sector. Tranglo utilizes XRP in all its real-time transactions, highlighting the functional value of XRP beyond speculative trading. This could potentially stabilize its price in the long term.
It is important to note that this article is for informational purposes only and should not be considered financial advice. The views expressed are the author’s personal opinions and do not reflect the opinion of The Crypto Basic. Readers should conduct thorough research before making any investment decisions, and The Crypto Basic is not responsible for any financial losses incurred.