XRP price jumped by over 4% today, February 14, reaching its highest level in over a week. It has now rebounded by over 30% from the year-to-date low of $1.1145.
Summary
- XRP price has rebounded by over 30% from its lowest level this year.
- The rally coincided with the performance of other crypto prices.
- It accelerated after the US published encouraging inflation data.
Ripple (XRP) token has soared, mirroring the performance of the broader crypto market. Bitcoin (BTC) jumped to $70,000, while other top cryptocurrencies like Zcash, Morpho, and Pippin soared by over 20%. The market capitalization of all coins rose by over 3.4% to over $2.38 trillion.
XRP jumped as investors reacted to the recent US macro data, which raised the possibility that the Federal Reserve will deliver more interest rate cuts this year.
The report showed that the headline consumer inflation report 2.4% in January, much lower than December’s 2.6%. Core inflation, which excludes the volatile food and energy products, remained at 2.5%. These numbers mean that Trump’s tariffs have not had a major impact on inflation.
XRP price also jumped as the Ripple USD stablecoin continued growing after the recent Binance listing. It now has over $1.5 billion in assets, and its usage is increasing.
Ripple Labs is working on new features that will lead to more XRP and RLUSD usage. They are working on the upcoming permissioned DEX feature.
Permissioned DEX resembles that of other popular DEX platforms like Uniswap and PancakeSwap, with the only difference being that it controls who can place and accept offers. It will be a useful tool for institutions on the XRP Ledger.
XRP price technical analysis
The daily timeframe chart shows that the XRP price bottomed at $1.1110 earlier this month and has now rebounded to $1.4700. This rebound has largely mirrored the performance of Bitcoin and other altcoins.
Still, the token remains below the important support level at $1.807, its lowest level in April, October, November, and December last year. It also remains below the 50-day and 100-day Exponential Moving Averages.
The coin has remained below the Supertrend indicator. Therefore, while the Ripple price may have bottomed, there is a risk that the ongoing rebound may be a dead-cat bounce.
A dead-cat bounce, commonly known as a bull trap, is a situation where an asset in a free fall rebounds briefly and then resumes the downtrend. A complete XRP rebound will be confirmed when it moves above the 50-day moving average and the resistance at $1.807.
