Since plunging to a two-month low on June 22, Ripple’s XRP has rebounded slowly, moving within an ascending parallel channel.

The price recovery, though marked by constant dips, appears to be driven by renewed investor confidence, especially from experienced market participants. This analysis holds the details. 

Since late June, the steady rise in XRP’s Smart Money Index (SMI) suggests that ‘smart money’ is re-entering the market and positioning for potential upside. Readings from this indicator show that its value has risen by 10% since June 22.

Smart money refers to capital controlled by institutional investors or experienced traders who understand market trends and timing more deeply. The SMI tracks the behavior of these investors by analyzing intraday price movements.  Specifically, it measures selling in the morning (when retail traders dominate) versus buying in the afternoon (when institutions are more active). 

A rising SMI like this signals that smart money is accumulating an asset, often ahead of major price moves. 

In XRP’s case, the recent uptick in its SMI since June 22 suggests that seasoned investors are quietly accumulating the token. This could be potentially in anticipation of a larger rally as speculation around a spot XRP ETF continues to gain momentum.

Further, XRP’s Parabolic Stop and Reverse (SAR) confirms this bullish outlook. As of this writing, the dots that comprise the indicator rest under XRP’s price, offering dynamic support at $1.99.

An asset’s Parabolic SAR indicator identifies potential trend direction and reversals. When its dots are placed under an asset’s price, the market is in an uptrend. It indicates that an asset is witnessing bullish momentum, and its price could continue to rally if buying persists. 

At press time, XRP trades at $2.21, noting a 0.14% decline over the past day amid the broader market’s pullback. If the buying activity from smart investors strengthens, XPR could reverse its downtrend and climb toward $2.35.

However, if the bears retain control, they could drive a further XRP price dip to $2.14. They can also further push the price below $2.

The post XRP Eyes $2.35 as Smart Money Fuels Bullish Momentum appeared first on BeInCrypto.

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