Last month was great for XRP (XRP) as the value of this digital asset increased by over 20%. This boost was part of the overall trend in the cryptocurrency market, where many assets are experiencing gains.
The recent rise in XRP’s price has sparked renewed interest among investors, leading traders to consider its investment potential.
In light of this, Finbold has calculated the current value of $1,000 invested in XRP at the start of January 1.
XRP’s monthly closes with 21 EMA. Source: EGRAG CRYPTO
However, the current scenario presents a departure from this historical pattern. Since September 2022, XRP has demonstrated a consistent trend of monthly closes above the 21 EMA. This persistent behavior indicates a potential shift towards a more bullish market setup.
Such consistent closes above the 21 EMA signal a stronger upward momentum, suggesting the possibility of more aggressive and robust price movements in the foreseeable future, as per a post on X from cryptocurrency analyst EGRAG CRYPTO on March 1.
This observation underscores the importance of monitoring XRP’s performance relative to the 21 EMA as a key indicator of its bullish trajectory.
XRP price chart
XRP launched 2024 with vigor, boasting a valuation of $0.6157 on New Year’s Day. However, despite this promising beginning, the price of XRP dipped below the $0.60 mark shortly afterward and has struggled to reclaim it until recently.
It remains slightly below the levels observed two months ago, resulting in a year-to-date regression of -4.93%.
Nonetheless, over the past seven days, XRP has experienced a notable increase of 11.28%, aiding in recovering some of its previous losses. This recent surge suggests the potential for XRP to surpass the levels seen at the beginning of the year.
XRP 7-day price chart. Source: FInbold
It’s worth noting that Ripple unlocks a designated amount of XRP every first day of the month. This time, the unlocked amount will total $600 million, contributing to the token’s inflation. Ripple’s consistent unlocking of XRP significantly impacts its market dynamics and overall value.
What would $1,000 invested in XRP be worth now?
If you had invested $1,000 in XRP at the beginning of 2024, your investment wouldn’t have performed particularly well up to the present moment.
Specifically, due to the -4.93% decrease since the holiday season, as of March 1, your investment would be valued at $950.7.
However, considering the current market dynamics, which are positioning this digital asset for a surge, this decrease may not turn out to be a significant loss in the long run.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
