XRP has soared 260% in the last month and is currently trading at $1.87. The token’s strong technical indicators suggest that the bull market is not over yet, and $3 could be a key milestone that could lead XRP to a new ATH.
A major factor in XRP's growth is the adoption of the XRP Ledger, which appeals to users with fast and low-cost international payments. Meanwhile, Bitcoin continues to suffer from congestion and high fees.
A new layer-2 network, PlutoChain (PLUTO), has emerged as a potential solution to address these issues and ensure the long-term viability of the Bitcoin ecosystem.
Technical Analysis: Could XRP Reach $3 Soon?
Last month, the prediction that XRP price would reach $1 was bold. However, the recent post-election rally caused XRP's 24-hour trading volume to skyrocket from $1 billion to a staggering $18 billion.
XRP stabilized in the $1.08 to $1.18 range in mid-November and continued to rise. It is currently trading near $1.9, a key support and resistance level that will determine its next significant move.
If XRP breaks above $2, buying pressure will increase and could push it toward new highs. In an optimistic scenario, XRP could even break through the $2 price mark next week for the first time since January 2018.
Despite the bullish sentiment, high RSI and stochastic readings suggest that XRP is overbought and a modest pullback could be in store. However, ADX 65.9 still shows strong upward momentum.
The positive outlook was further strengthened by the news that SEC Chairman Gary Gensler resigned on January 20th. Given the long-standing animosity between Gensler and Ripple, Garlinghouse expects the new leadership to adopt a more flexible and positive attitude toward cryptocurrencies like XRP.
Clearer regulations could strengthen XRP's price action, allowing XRP to reach $3 by mid-2025.
PlutoChain bridges Ethereum and Bitcoin
PlutoChain stands out as the first hybrid layer 2 solution for Bitcoin. Its smart contract capabilities have the potential to develop countless applications on the network.
Additionally, thanks to PlutoChain’s compatibility with Ethereum Virtual Machine (EVM), developers can migrate their existing Ethereum-based dApps to Bitcoin.
PlutoChain's community-centric model allows owners to shape the future of their projects by voting on key decisions, so project development aligns with users' vision.
Can Bitcoin become more than a store of value?
The Bitcoin dApp sector is still in its infancy, and BTC’s functionality is limited to being a mere store of value. This means that the total value of the BTCFi ecosystem is pegged at less than 1% of BTC’s multi-trillion dollar economy.
For example, Ethereum DeFi apps account for 10% of ETH’s TVL. This indicates that new BTCFi projects have a very high potential to grow and gain significant market share.
PlutoChain's cross-platform interoperability has the potential to transform the way we interact with Bitcoin and accelerate the adoption of blockchain technology.
PlutoChain passed an audit by SolidProof and found no significant vulnerabilities or bugs in its code.
last word
PlutoChain's first-ever hybrid layer 2 solution could reshape the Bitcoin network as XRP aims to reach new heights.
In the near future, Bitcoin may become more versatile and attractive to a wider range of users, stimulating ecosystem growth.
To learn more about PlutoChain and its unique features, please visit the links below.
Official website | X/Twitter page | Telegram channel
Please note that this article is purely informational and does not constitute financial advice. All cryptocurrencies are volatile and prices tend to change rapidly. Always do your own research and consult an expert before participating in a cryptocurrency venture. We are not responsible for any consequences based on the information in this article. Forward-looking statements involve risks and may not reflect the latest information.
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