Biggest Enemy of an XRP Holder is Time, Not Price
A market analyst has suggested that time remains the biggest enemy to an XRP holder, not price action, expressing confidence in an eventual rally.
XRP has failed to mirror the mild rebound effort within the broader crypto market, which has seen the global crypto market cap recover $20 billion this week.
Despite this current situation, most market analysts have maintained confidence that XRP could record an impressive rally from here. For instance, Cryptollica, a well-known chartist, recently suggested that XRP could be on the verge of soaring toward $8, arguing that price action is not the biggest enemy to an XRP holder, but time.
Key Points
- Market Sentiment and XRP’s Potential Rally: A market analyst emphasizes that time, rather than price action, is the primary obstacle for XRP holders, with confidence in an eventual significant rally despite current market conditions.
- XRP’s Underperformance Compared to Broader Crypto Market: Despite a recovery in the global crypto market cap, XRP has not mirrored this rebound, which has seen an increase of $20 billion this week, suggesting it is lagging behind other currencies.
- Historical 4-Part Structure of XRP’s Price Action: Cryptollica identifies a recurring four-phase structure in XRP’s historical price movements, culminating in explosive rallies, with the previous cycle from 2014 to 2018 setting a precedent for future developments.
- Current XRP Cycle and Similar Structural Pattern: XRP appears to be following a similar four-part pattern from its 2020 low, with recent consolidation after a surge to $3.4, indicating preparation for the next upward phase.
- Long-Term Outlook and Price Predictions for XRP: Despite ongoing consolidation, analyst Cryptollica believes XRP’s current phase is setting the stage for a surge toward $8, representing a 290% increase from its current price, driven by the anticipated part 4 of the pattern.
XRP Historical Structure
In his commentary, Cryptollica called attention to what he believes is a 4-part structure that guides XRP’s price action, eventually leading to an explosive run. According to him, the first structure emerged between 2014 and 2017, and the second structure started in 2021, but has endured until now.
Specifically, during the 2014 to 2017 structure, XRP dropped to a floor of $0.00281 in July 2014, and then traded above an ascending support trendline, accumulating but posting higher lows from July 2014 to March 2017. This marked the end of Part 1.
For Part 2, XRP witnessed an initial surge from the accumulation phase, soaring from $0.00555 in March 2017 to a high of $0.3989 by May 2017. After hitting the $0.39 resistance, XRP pulled back and consolidated, marking Part 3. Interestingly, as the consolidation ended, Part 4 emerged in December 2017, pushing XRP from $0.23 to $3.31 by January 2018.
XRP 2W Chart | Cryptollica
XRP Now Following a Similar 4-Part Structure
Cryptollica believes XRP may be following a similar 4-part structure. Data from his chart indicates that Part 1 began when XRP hit the $0.1140 bottom in March 2020 and then traded above an ascending support trendline, forming higher lows until November 2024. When Part 2 played out in November 2024, XRP surged from $0.5 to a $3.4 peak by January 2025.
Now, XRP has continued to consolidate after dropping from the $3.4 peak, representing Part 3. According to Cryptollica, the market now remains within Part 3, which some XRP proponents would regard as boring. The analyst suggested that despite the boredom, Part 3 is now preparing the launchpad for the upsurge that would emerge when Part 4 comes up.
He believes price action is not the problem for an XRP holder, but time. This implies that, while he remains confident that XRP will skyrocket in the future, some XRP holders could dump their bag during this “boring” period due to an extended wait time. Data from his chart shows that he expects Part 4 to push XRP’s price toward $8. This would represent a 290% increase from the current price of $2.05.
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