XRP-Branded Mastercard Teased by Gemini: Potential to Reverse XRP Downtrend Analyzed

First emerging in a sponsored billboard in New York City, news of an XRP-branded Mastercard by Gemini, a leading crypto exchange has invigorated interest within the XRP community. For a community that has been weathering a downtrend with the token’s price, this development could very well signify a turnaround. Given that no further details about the functionality of this card have been disclosed, it raises a train of questions and speculations. The big question now is: will this launch revive the momentum of XRP?

The Hype Around the XRP Mastercard Launch

The seed of anticipation was first sowed by an insinuate tweet posted by Gemini on the 21st of August. Depicting a photo of a billboard with the XRP-branded Mastercard on display, the tweet has since raked in over 1.7 million views, 3,100 reposts, and more than 10,000 likes. The billboard also suggested a launch date of the card to be 8.25.25 and mentioned WebBank as the issuing partner.

The tease, succinctly captioned “Prepare your bags” by the crypto exchange, was all the fuel required to set the XRP community abuzz. Amid the murmur of excitement, neither Gemini nor Ripple, the creator of XRP, has so far confirmed any specifics. The announcements, yet to come, are eagerly awaited by a large number of cryptocurrency enthusiasts.

The Impact on XRP

Despite being the third-largest cryptocurrency by market cap, XRP has witnessed a drop of 14.7% over the past week and has fallen by 22% from its yearly high. This downturn comes in sharp contrast to the occasional rallies experienced after a partnership with global payment entities like Mastercard. A vivid example is Solana’s 20% surge after collaborating with Visa for their stablecoin settlement pilot.

While the excitement is palpable within the community, the near silence in XRP’s price action is noticeable. At present, the token has seen a 1.2% drop for the day. There is also the possibility of a ‘sell the news’ reaction as traders anticipate a price surge before the card’s launch. The KPIs in the coming days will indeed paint a clearer picture.

Analyzing the Price of XRP

Recent price analysis shows that XRP has been oscillating within a tight scope between $2.70 and $3.30 since late July. The $2.70 mark is critical—if the token hits this mark and bounces back, it could mean an end to the downtrend. Common in technical analysis, this pattern—double bottom—often signals a trend reversal.

Other factors further bolster the potential for a reversal. The Average Directional Index (ADX), a measure of a trend strength, has dipped to 22. Usually, a reading below 25 implies an asset’s ongoing trend is losing steam. In this context, it may mean an upward shift in the XRP momentum. Similarly, XRP’s Relative Strength Index is nearing an oversold state, hinting that the token’s downward momentum might be nearing its expiry.

A potential recovery from $2.74 could see XRP targeting an upside of $3.34. Conversely, failing to recover could send the token, currently holding steady since June, towards the $1.90 support level.

Wrap Up

Tied up in the mystery of its functionality and with the anticipation surrounding its launch, the XRP-branded Mastercard has indeed stirred the XRP community. Whether or not it can spearhead a rally in the token’s price remains to be seen. The addition of this card to the world of cryptocurrencies could potentially disrupt the playing field in unforeseen ways.

Just a side note, this blog does not present investment advice and is meant purely for educational purposes. Do ensure to carry out due diligence when dealing with cryptocurrencies or various financial assets.