XRP traders encountered disruptions due to a glitch in the Automated Market Maker (AMM) on the XRPLedger, prompting Ripple to swiftly identify and address the issue.
The XRP price remained range-bound below the key resistance level of $0.75, with a potential breakout towards $0.86 looming upon breaking this resistance.
In the latest development, XRP traders faced disruptions due to a glitch in the Automated Market Maker (AMM) on the XRPLedger, impacting deposit functions. Ripple was quick enough to identify the issue and initiated a fix while urging community members to participate in finalizing the amendment for speedy activation of the AMM.
Until the resolution, ripple has advised traders against depositing funds into AMM pools and encouraged them to redeem their Liquidity Pool (LP) tokens. According to the official blog post titled “AMM Status Update,” a collaborative effort involving RippleX, Orchestra Finance, tequ, and other XRP Ledger community members rapidly addressed the issue, attributed to complexities in liquidity routing.
Ripple’s engineers have devised a solution for the technical glitch, currently undergoing review, testing, and preparation phases. Once validated by the XRPLedger community of validators through a voting process, the fix will be activated.
During this period, Ripple advises market participants to exercise caution and avoid depositing funds into AMM pools. Following the resolution, the XRPLedger community can resume earning passive income through AMMs. The release will be denoted as version 2.1.1. This development comes at a time when an XRPL developer raised concerns over Ripple’s selective funding which could threaten future innovations, reports Crypto News Flash.
XRP Price Gearing Up for Rally to $0.75
The XRP price has maintained a sideways trend below the $0.75 resistance level since July 2023, as observed on the XRP/USDT weekly price chart. Whenever the XRP price retreats to the support level at $0.4743, it rebounds towards the upper boundary of the range, situated at $0.75.
Currently, the XRP price remains range-bound, with $0.75 serving as a significant resistance level for the altcoin. A decisive breakthrough above this level could propel XRPLedger’s native token towards the weekly resistance at $0.86, depicted in the chart below, potentially initiating a rally in the altcoin.
Traders need to exercise caution with long positions while the XRP price remains within the range. It is likely that the XRP price will gather liquidity below $0.63 once more before undergoing a short-term breakout. Sustained upward movement beyond the Fair Value Gap, ranging between $0.7527 and $0.7609, could establish an upward trajectory for the altcoin.
Should these conditions materialize, the XRP price may revisit $0.75, achieve a clear breakthrough above this level, and advance toward the resistance at $0.86. However, in the event of a decline, a weekly candlestick closure below the $0.4743 support level for XRP price may nullify the ongoing recovery rally, indicating a potential reversal towards a bearish trend. During this downward movement, XRP price may seek liquidity at the monthly support of $0.2879, a level last observed in June 2023.
