XRP is showing signs of a potential major trend shift, with some analysts predicting a rise to $4 and beyond. This optimistic outlook is based on technical analysis, on-chain data, and potential regulatory developments. However, other analysts suggest caution, pointing to historical patterns and resistance levels that could lead to a correction.
Technical Analysis and Key Levels
XRP's price displayed strength recently, recovering from lows around $2.70. A strong technical setup, including a symmetrical triangle pattern, suggests a possible trend reversal towards $4.08, representing a 42% climb from current levels. For this to materialize, bulls need to overcome resistance at $3.40 and the eight-year high at $3.66. Trader and analyst CasiTrades noted that XRP created a "massive wick down to a double bottom near $2.70" on the four-hour chart, suggesting that as long as the price holds above $2.70, this pattern remains valid. Key levels to watch on the downside are the immediate support at $2.79 and the recent low at $2.70. A drop below this level could bring the $2.58 support into play.
Another analyst, Dark Defender, suggests that XRP is nearing the completion of a corrective ABCDE wave pattern, potentially setting the stage for a significant breakout. According to the analyst, reclaiming the $3.333 price level and establishing it as support could position XRP for a substantial rally, potentially pushing the price into double digits. The analyst identifies the price zones between $2.64 and $2.85 as the final stabilization area before a breakout attempt. Supporting this outlook is the Relative Strength Index (RSI), which shows signs of bottoming, potentially indicating a reversal point.
Alternative Scenarios and Predictions
While some analysts are optimistic about XRP's potential to reach $4 and beyond in the short term, others present alternative scenarios and longer-term predictions. ChatGPT projects that XRP could climb as high as $20 by late 2025. Technical data suggests that XRP is nearly undervalued, and the appearance of three bullish flags across its chart this year may be a precursor to a breakout.
Changelly's analysis of technical indicators suggests a bearish market sentiment. According to their price prediction, XRP price is expected to decrease slightly. The four-hour chart indicates a bearish trend, with the 50-day moving average falling and the 200-day moving average falling since September 20, 2025.
EGRAG Crypto suggests that XRP could climb towards $9.6 or even $33 if historical chart patterns repeat. However, the analyst also expects XRP to stay in a sideways range for now, advising traders to remain patient.
Factors Influencing XRP's Price
Several factors could influence XRP's price in the coming months. These include:
- Regulatory developments: Fresh bipartisan moves in Washington aimed at advancing crypto regulation could set the stage for more institutional adoption of XRP. Decisions on several XRP-spot ETF applications are also anticipated, with issuers such as Grayscale, WisdomTree, and CoinShares awaiting approval.
- Macroeconomic conditions: U.S. interest rate cuts and the possibility of crypto integration into 401(k) retirement accounts could provide significant tailwinds for XRP and the broader market.
- Market sentiment: Market sentiment, as reflected in the Fear & Greed Index, can also impact XRP's price. Currently, the Fear & Greed Index is showing 45 (Fear).
Conclusion
The outlook for XRP remains finely balanced. While technical indicators and analyst predictions suggest the potential for a major trend shift and a rise towards $4, historical patterns, resistance levels, and market sentiment could lead to a correction. Investors and traders should closely monitor key support and resistance levels, regulatory developments, and macroeconomic conditions to make informed decisions about XRP.
