XRP’s Potential for a Bullish Surge Despite Recent Setbacks
In recent weeks, XRP has experienced notable capital outflows, yet key technical indicators suggest the digital asset might still ascend to an impressive high of $12.50 in the upcoming months. This optimistic forecast stems from XRP breaking out of a prolonged consolidation phase that lasted from December 2024 to June 2025, as highlighted by TradingShot in a TradingView analysis dated July 25.
The Historical Chart Patterns of XRP
The current technical setup of XRP is reminiscent of the triangle pattern that was a precursor to the cryptocurrency’s significant rally in late 2017. This pattern is supported by price actions aligning with the 50-week moving average (MA50) and the two standard deviations (Stdev) band derived from the Bollinger Bands model.
Advertisement Banner
Reflecting on historical cycles, observers noted that in 2018, XRP’s price peaked near the 3 Stdev band, while the 2021 cycle faced resistance around the 2 Stdev band. This cyclical behavior suggests that XRP is now targeting the 2 Stdev level, which intersects with the 2.0 Fibonacci extension, indicating a potential price of approximately $12.50.
This projection presumes that XRP will revisit the same technical thresholds it achieved during previous market highs. Should the current momentum persist, reaching this level by the end of the year is plausible.
XRP’s Short-Term Correction
While the long-term outlook remains positive, XRP’s recent rally was halted before breaking the crucial $4 resistance level. This setback was intensified by bearish movements among large investors and a wave of liquidations in long positions.
Particularly notable was a transaction involving a wallet associated with Ripple co-founder Chris Larsen, which transferred over 50 million XRP, sending $140 million to exchanges. A significant transaction on July 24 involved 42 million XRP, sparking a rapid sell-off.
This selling pressure led to one of the largest XRP long liquidation events on Binance this year, erasing approximately $86 million within a few hours. Despite this volatility, on-chain data reveals a trend of whale accumulation, with 2,743 wallets holding over 1 million XRP each, collectively amounting to 47.32 billion tokens, or about 4.4% of XRP’s circulating supply.
Current XRP Price Analysis
As of the latest data, XRP is trading at $3.16, reflecting a rise of over 3% in the last 24 hours, although it has decreased nearly 9% over the past week. The 14-day relative strength index (RSI) for XRP stands at 61.49, suggesting robust buying pressure without indicating an overbought scenario.
The asset’s upward trend is further supported as it trades significantly above its 50-day simple moving average (SMA) of $2.51 and its 200-day SMA of $1.84, demonstrating resilience in both short-term and long-term market trends.
“`
This rewritten content is now structured with HTML headings for improved readability and SEO compatibility. The language has been enhanced, keywords related to cryptocurrencies and market analysis have been included, and the word count has been naturally increased to add value and context.
