Why XRP Is Preparing for a Big Week Ahead

This week could be crucial for XRP, according to crypto expert Bird. Investors are closely monitoring significant macroeconomic events, including the U.S. Consumer Price Index (CPI) and the upcoming markup of the CLARITY Act.

Key Takeaways

Crypto analyst Bird believes that XRP may experience significant price movement this week.
Historical trends show that the Russell 2000 reaching all-time highs often signals a major run for XRP.
Important inflation data is expected to create volatility in the crypto market.
The CLARITY Act could provide legal clarity for XRP, boosting its adoption.
XRP's current trading price is about $2.06, following a decline in recent days.

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The Importance of This Week for XRP

In a recent post on X, Bird highlighted that this week is particularly important as the Russell 2000 index has climbed to new all-time highs. He pointed out that in all previous instances of such rallies, XRP managed to record significant price increases. Additionally, macroeconomic data set to be released this week will further impact XRP's value.

Bird mentioned that the upcoming CPI and Producer Price Index (PPI) inflation reports tend to create volatility in the cryptocurrency market. He also noted that the anticipated markup of the CLARITY Act, scheduled for Thursday, could provide necessary legal clarity for XRP and other cryptocurrency assets.

According to Bird, the current charts and macroeconomic indicators are aligning favorably for XRP. He predicted that if these developments allow XRP to surpass $2.70, it could rapidly ascend to a new all-time high. However, he warned that if this surge does not occur, it might suggest market manipulation, as XRP and the wider crypto market should be witnessing substantial gains.

It's important to mention that XRP reached a peak of $2.30 at the beginning of the year but has since retracted those gains. Still, the altcoin has maintained an approximate 10% uptick year-to-date (YTD). The passage of the CLARITY Act is expected to benefit XRP significantly, as it would enhance Ripple's operations and likely lead to increased adoption.

Potential Rally to $2.26 for XRP

Crypto analyst CasiTrades has forecasted a potential rally for XRP to around $2.26 from its current price. In a post on X, she indicated that this increase would allow XRP to complete a subwave 2, with the next upward wave being particularly essential. However, she cautioned that if the price continues on a downward trend, XRP might face a sharp decline into subwave 3, potentially dropping below the $1.65 macro support level.

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Yet, if XRP can bounce back and surpass $2.41, turning that level into support, it might invalidate the decline scenario towards $1.65. CasiTrades emphasized that this moment represents a crucial decision point in the market as participants keep their focus on broader macro factors.

As of now, XRP is trading at approximately $2.06, reflecting a decrease over the past 24 hours, according to data from CoinMarketCap.

XRP XRP trading at $2.06 on the 1D chart | Source: XRPUSDT on Tradingview.com