XRP Rebounds Above $2.16 After Thursday’s Dip; US Job Growth Exceeds Expectations

XRP is showing resilience, bouncing back after a 9% drop on Thursday that tested a crucial support level. This recovery coincides with positive economic news from the US, where job growth exceeded forecasts in May.

• XRP extends rebound: Trading above $2.16 after Thursday’s 9% drop tested the 200-day EMA support.
• US unemployment steady: The unemployment rate remained at 4.2% in May, with 139,000 jobs added, surpassing expectations.
• Technical signals mixed: Multiple sell signals suggest XRP isn’t entirely out of the woods yet.

Ripple (XRP) is making gains following a broad sell-off on Thursday, which saw the cryptocurrency market capitalization decrease by 4% to $3.4 trillion. XRP has since recovered, trading around $2.17 on Friday. This upward trend has the potential to continue through the weekend, with bulls targeting $2.50, supported by improving market sentiment.

XRP Shows Signs of Sustained Rebound as US Adds 139,000 Jobs

The US economy added 139,000 jobs in May, exceeding expectations of 130,000. According to the Non-Farm Payrolls data released by the Bureau of Labor Statistics (BLS), the labor market continues to advance, albeit at a slower pace compared to the 147,000 jobs added in April.

The unemployment rate remained steady at 4.2%, near historic lows. Despite this stability, there are concerns that the US economy may be weakening, which could influence the Federal Reserve’s (Fed) interest rate decision later this month.

Experts, including Fed Chairman Jerome Powell, have warned about the potential long-term impact of trade tariffs on economic growth and inflation.

“We are slowing down — and the damage from the trade war is yet to come,” said Mark Zandi, chief economist at Moody’s Analytics.

Zandi added that future inflation data will reflect rising prices as import tariffs take effect. A Fed report indicated that businesses anticipate costs and prices to increase at a faster pace in the future.

The cryptocurrency market has been volatile in recent weeks amid trade tensions and concerns about US tariffs. Global trade remains uncertain.

Technical Outlook: Can XRP Sustain the Bullish Trend Through the Weekend?

XRP’s price is holding above the 200-day Exponential Moving Average (EMA) support at $2.08, trading at $2.17. The recovery from Thursday’s dip appears to be extending into the weekend, with the Relative Strength Index (RSI) remaining neutral as it moves towards the 50 midline.

Traders are also watching for a potential buy signal from the Moving Average Convergence Divergence (MACD) indicator. This signal occurs when the blue MACD line crosses above the red signal line.

If the indicator rises above the zero line, with the green histogram bars exceeding the same line, the path of least resistance would remain upward.

A confluence created by the 50-day EMA and the 100-day EMA around $2.26 could hinder XRP’s price increase. However, if this level is breached, traders may target a 15% increase to $2.50, with a further rise towards the psychological supply zone at $3.00, depending on broader market sentiment.

The RSI on the 4-hour chart is approaching the 50 midline, reinforcing the short-term bullish outlook. While the MACD indicator has not yet confirmed a buy signal, there is a possibility that the upward trend will remain stable.

On the other hand, a previously discussed sell signal advises caution among traders. Additionally, XRP is currently trading below key moving averages, including the 50-period EMA, 100-period EMA, and 200-period EMA, suggesting that the token is still in a downtrend and losses could resume or even lead to consolidation.

Stay ahead of the curve in the fast-paced crypto world – explore the latest updates and trends at Cryptonewsfeeds.com.