XRP saw a sharp decline on Friday, mirroring a volatile week for the cryptocurrency market, which experienced a notable 11.68% drop in total market capitalization, falling to $3.14 trillion over the past 24 hours. XRP alone relinquished nearly 20% of its recent gains in this timeframe.
Notably, the drop was attributed to a combination of typical on-chain profit-taking and reports that U.S. Federal Reserve Chairman Jerome Powell stated the agency has no interest in creating a national Bitcoin reserve, sending Bitcoin’s price as low as $92,000 at the time of writing.
Despite this setback, analysts remain increasingly optimistic about XRP’s future trajectory, with some seeing the current dip as another rare “buy the dip” opportunity.
In a Thursday tweet, popular Gert Van Lagen highlighted a potential double-bottom breakout for XRP, predicting the cryptocurrency could surge to $10 in the ongoing market cycle. Notably, his optimism is largely driven by a “double bottom” formation, a pattern that has historically preceded substantial price rallies for XRP.
Supporting his analysis, the pundit pointed to the periods between 2014 and 2017 when XRP’s price surged by an astounding 25,000% in just five months after printing the pattern. At the time, XRP had traded as low as $0.006 in April 2017 before peaking at around $1.50 by December.
In the current market, Van Lagen pointed out that XRP has formed a similar double-bottom pattern between March 2020 and August 2022, suggesting that the cryptocurrency could be poised for another major bull run.
Legan’s analysis was supported by Egrag Crypto, another analyst who predicts that XRP could reach triple digits by the end of this cycle, clapping back at critics.
“They used to call us crazy for saying double digits for XRP, now they are charting XRP for 3 digits. Trust the process,” he stated confidently.
Egrag also downplayed the recent price drops, calling them “just noise” and emphasizing that such fluctuations are typical for XRP within its current macro range. He pointed out that XRP is retesting a crucial low of $1.90 from December 10th, which could complete the double-bottom formation and set the stage for a potential rebound. Egrag reassured that even if XRP temporarily falls below this level, it should not be considered a major concern.
Notably, in an analysis shared on Thursday, the pundit had examined XRP’s Relative Strength Index (RSI), indicating that the cryptocurrency could hit new highs by mid-2025. He also observed that XRP’s price behavior mirrors previous cycles, with a possible second peak in either March or July 2025 at around $90.
However, according to Egrag, a critical point is that the RSI must remain above 77 in the two-week timeframe, as this would signal strong momentum heading into the next market phase.
At press time, XRP was trading at $2.18, reflecting a 8.6% drop in the past 24 hours.
