On Wednesday, July 23rd, the crypto market experienced a sudden sell-off, pushing a majority of major assets, including XRP, into a correction phase. The Ripple cryptocurrency plummeted over 9% to trade at $3.22 by press time. However, the recently announced XRP treasury program by Nature’s Miracle suggests the institutional interest in this asset remains robust, boasting its potential for rebound.
Nature’s Miracle Among Early Adopters of XRP
Nature’s Miracle Holding Inc. (NMHI), a California-based agricultural technology company trading on the OTCQB, announced the launch of a $20 million Corporate XRP Treasury program in a Wednesday report.
The company will utilize the proceeds from the equity financing by GHS Investments to purchase XRP tokens and fund its working capital needs. The initiative positions Nature’s Miracle among the early publicly traded companies to adopt XRP as its core treasury strategy.
The program will focus on acquiring XRP tokens for a long-term strategic reserve, utilizing staking mechanisms to generate yield and actively participating in the Ripple ecosystem.
To support this initiative, the company will initially fund its XRP purchase with a portion of the equity financing derived from the recently effective S1 Registration Statement, which was declared effective by the SEC.
The firm plans to raise its XRP adoption through a mix of equity issuance, structured financing instruments, and strategic placements.
“We see the huge potential of XRP as it improves the speed and reduces the cost of cross-border payments. Many established financial institutions, like Banco Santander and American Express, are already involved with XRP. We believe that adopting an XRP Treasury program will benefit our shareholders and the company,” said James Li, CEO of Nature’s Miracle.
The increasing institutional interest will bolster XRP’s credibility and demand in the broader markets.
Key Support To Watch in XRP Price Correction
Since last weekend, the XRP price has exhibited a short consolidation trend, ranging between the $3.65 resistance and an ascending trendline on the 4-hour chart. These two converging levels reveal the formation of an ascending triangle pattern, which typically recuperates the bullish momentum in the market.
However, with the recent market sell-off, the coin’s price has given a bearish breakdown from the pattern’s support signals, signaling an increasing bearish momentum in the market. With an intraday sell-off of over 9%, the sellers currently take a break down below the 23.6% Fibonacci requirement level.
If the daily candle closes below this level, the current correction could prolong by another 6.9% to test the support from the 38.2 Fib level at the $3 mark.
However, until the price holds its support above the 50% retracement level, currently at $2.78, Ripple crypto should maintain its prevailing bullish trend.
