Why is the XRP Price Up Today?

XRP price is gaining as crypto assets edge higher today, May 7, after reports of a US-China trade deal. Bitcoin (BTC) briefly surpassed $97,000, while Ethereum and most altcoins broke out of consolidation with notable gains. 

At press time, XRP trades at $2.13 with an intraday high of $2.16, as a looming channel breakout and macro factors suggest that the uptrend will likely continue.

XRP Price Nears Channel Breakout as U.S.-China Trade Deal Develops

With a near 2% rise, XRP is at $2.16. However, the bullish trend faces critical resistance from the overhead trend line and the 50 and 100 EMA lines. Furthermore, the MACD and signal lines have recently given a negative crossover. 

With multiple technical setbacks, the short-term surge in bullish momentum must surpass the overhead obstacles to sustain a bullish ride. However, the overnight surge has concluded the four-day downfall streak in the XRP price trend. This increases the possibility of a price jump in XRP.

The sudden reversal and increased bullish sentiments in Ripple’s XRP come before the anticipation of a U.S.-China trade deal meeting in Switzerland.

A Way Ahead in the U.S.-China Trade Deal 

In a recent interview, Scott Bessent, the 79th U.S. Treasury Secretary, revealed a key upcoming discussion between the U.S. and China in Switzerland over the coming weekend. Scott Bessent revealed his plan to visit Switzerland to discuss trade deals with the Swiss. Chinese delegates, presently on a visit to Europe, are willing to discuss a potential way ahead in trade deals. Bessent said, 

“The world has been coming to the U.S., and China has been the missing piece. We will meet on Saturday and Sunday to discuss our shared interests.”

Bessent adds that the current tariffs and trade barriers are unsustainable, but we don’t want to decouple. The treasury secretary further added that tariffs and other barriers are coming down as the world starts to renegotiate. “We are bringing strategic industries back home, from steel to semiconductors to medicine, and Americans will get a better deal.”

With the news, the NASDAQ 100 and S&P 500 registered a near 1% jump despite a weaker opening. This reflects the sudden optimism spike in the US markets. 

China’s MOFCOM Confirms The Meeting in Switzerland

In a news release, China’s Ministry of Commerce, MOFCOM, has confirmed the news that Vice Premier He Lifeng will visit Switzerland. The vice premier will be a Chinese representative for the China-U.S. Economic and Trade Affairs. During his visit to Switzerland, he will meet the U.S. Treasury Secretary Scott Bessent. 

The news release also states, “China has carefully evaluated these messages, taking into full account global expectations, China’s own interests, and the appeals of American businesses and consumers. China has decided to engage with the U.S. side.”

The development in the US-China trade deal discussion has pumped up the US and crypto markets alike. Bitcoin is up by nearly 3%. Similarly, altcoins like Ethereum witnessed more than 1.50%, and it has fueled Ripple’s XRP token surge of 1.85%.

Conclusion

The XRP price surges as the global trade war witnesses the two rivals coming back to talking terms. This could result in a key pivot point for global markets and risk assets like crypto.