The GBP USD currency pair continued to hold a notably defensive tone throughout European trading on Friday, with the currency pair consistently guarded under the 1.3250 level. The US Dollar met a fresh onslaught of selling pressure. In conclusion, it was almost as if the British Pound was prevented from climbing higher against it. This stagnation is both a testament to current market appetites but an uncertainty regarding the currency’s future direction.
Prior to the monetary policy announcement, GBP/USD found it hard to build momentum. This was despite the US Dollar facing meaningful downward pressure as well. Traders are spooked by the British Pound’s whimpering performance. Its value is eroding, illustrative of a growing lack of confidence fueled by stop-and-go economic indicators and geopolitical turmoil. Going forward, analysts are proposing that the currency will likely need to see bigger catalysts in order to overcome this resistance point.
In the global crypto market, Ripple’s XRP price looks well-positioned to consolidate above the $2.31 mark on Friday. While this is good news as a default position, it should be pointed out that on the day, Ripple’s price actually dropped a bit. Market participants are closely monitoring XRP’s movements, especially in light of recent developments regarding its ongoing legal battle with the Securities and Exchange Commission (SEC).
Ripple’s price action is heavily driven by the expectation of a breakout above $3. This enthusiasm spiked in the wake of the company’s recently-announced $50 million settlement with the SEC. This development has created a wave of optimism among investors, increasing expectations for XRP’s price trajectory over the next weeks. The market is smart enough to know that such positive sentiment would likely increase trading volumes as well as price volatility.
As traders assess both the currency and cryptocurrency markets, they remain vigilant for signs of movement that could influence their strategies. Further indicating that investor sentiment remains muted, the GBP/USD has difficulty pushing above 1.3250. At the same time, Ripple is making a bullish consolidation, indicating that a breakout in price may soon be upon us.