Ripple price has recouped some of the previous session’s losses as the kneejerk reaction to the Fed interest rate decision fades. The US central bank’s hawkish surprise caused the US dollar to skyrocket to its highest level since mid-April. On the other hand, riskier assets such as crypto declined. The plunge is founded on the fact that higher interest rates trigger a risk-off attitude among investors. Subsequently, it acts as a bearish catalyst for cryptocurrencies.
Nonetheless, the broader picture is positive for Ripple price. The Federal Reserve’s hawkish tone is founded on the steady recovery of the US economy. In such an environment, more buyers are likely to enter the popular crypto market. Subsequently, the demand for Ripple as an alternative to Bitcoin and Ethereum will rise. However, the ongoing SEC case may curb its gains.
Ripple price is up by 1.92% at 0.8530. It is on a rebound after dropping from an intraday high of 0.8692 to 0.8221 on Wednesday. On a two-hour chart, it is trading between the 25 and 50-day exponential moving averages.
I expect Ripple price to rise further to the prior resistance level of 0.8684. With the entry of more buyers, it may surge to its next target at 0.9000. On the flip side, a move below 0.8500 will place the next support level at Wednesday’s low of 0.8221.
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