The price of XRP held above $0.60 early on Tuesday. The altcoin is experiencing an upsurge as institutional investors’ contributions to XRP funds continue to rise. Large wallet owners have dispersed their XRP token holdings during the last three weeks, while regular traders have purchased the cryptocurrency, bolstering a bullish view.
In the past 24 hours the price of Bitcoin (BTC) barely moved, and major tokens lost some of their gains from their early November surges.
Adding 0.6%, BTC traded at slightly over $37,500 on Tuesday morning in Europe. As traders probably grabbed profits, Ether (ETH) dropped 0.5%, Dogecoin (DOGE) and Solana (SOL) fell as much as 5%.
The Euro is still rising against the US Dollar, driving EUR/USD towards new three-month highs in the 1.0960–1.0965 zone. This is a territory that hasn’t been seen since mid-August and appears to be where some first resistance has so far appeared.
Conversely, the Greenback, as measured by the USD Index (DXY), continues to fall after breaking below the 200-day Simple Moving Average (SMA), which is a critical resistance level, and is very close to 103.00.
The ongoing slide in the US dollar is occurring against a slight downward trend in US rates across the curve. The Federal Reserve (Fed) may drop interest rates in the spring of 2024, as talk about this possibility grows. This conjecture is supported by last week’s release of lower-than-expected inflation measures, the PPI and the CPI.
GOLD AND UPCOMING NEWS
Tuesday saw a two-week high for gold prices in European trade, nearly reaching the $2000 mark as US rates and the currency declined. The gains occur ahead of the Federal Reserve meeting minutes, which are anticipated to provide insight into the probable future direction of US monetary policy.
Investors are now anticipating today’s Federal Reserve policy meeting, where the Fed is expected to maintain interest rates at 5.5%, the highest level since 2001.
This was the third such decision in the previous four meetings, and it is a clear indication that the US policy tightening cycle has come to an end.
Fed Chair Jerome Powell stated that the FOMC is still dedicated to bringing inflation down to 2%, but he also acknowledged that getting there will take time and effort.