Will XRP Follow Its 2017 Blueprint? Analyst Predicts 1,250% Growth

As XRP tests a key support level, several analysts are speculating that the altcoin may be poised for significant growth in the upcoming months, potentially echoing its 2017 trajectory.

Key Takeaways

XRP is currently testing a critical support area and could see significant growth similar to its 2017 performance.
Analysts are observing a potential trend reversal as XRP marks higher highs after a downward trend.
ChartNerd warns that XRP needs to avoid a bearish candle formation in the upcoming months to prevent a major correction.
There is potential for XRP to rise between 300% to 1,250% if bullish momentum continues.

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XRP Set for a Significant Surge

Last Friday, XRP hit a 12-day low, dropping to around $2.02 before recovering. For nearly two weeks, it has consistently traded within the $2.05-$2.35 range, primarily oscillating between the mid and lower ends of this interval.

Amid its recent activity, Sjuul from AltCryptoGems pointed out that the altcoin "is starting to look better, especially after that bullish market structure break with a new higher high." The analyst noted that XRP had been trending downward since August, marking lower lows and lower highs during that period.

However, it recently reversed this situation by recording a higher high for the first time in months following the early-year rally, suggesting the possibility of a trend reversal. "It's crucial now to maintain this bullish structure at all costs and to form a higher low on the next dip," Sjuul cautioned.

Additionally, market analyst ChartNerd highlighted a notable resemblance between XRP's current movements and its performance in 2017. In a post on X, he asserted that the altcoin is revisiting its 2016-2017 strategy, which previously sparked a substantial rally towards its former all-time high (ATH).

XRP

In 2017, XRP experienced a classic breakout from a multi-year symmetrical triangle formation, followed by an extended ABC consolidation phase before surging by 1,500%. Currently, it appears to have completed a similar breakout from the symmetrical triangle pattern and is in Wave C of its ABC consolidation phase.

The analyst warned that a deeper retracement in Wave C could occur if the crucial $1.80 support is breached. However, he remarked that "the cyclical repetition suggests XRP might be gearing up for a rise towards $8/$13/$27," which implies a potential increase of 300%-1,250% from current levels.

Upcoming Months Crucial for XRP’s Future

Despite his optimistic outlook, ChartNerd issued an important caution for the next couple of months. He stated, "XRP has just over two months to invalidate this 3-month bearish Heikin-Ashi candle formation," warning that failing to do so could lead to a significant correction.

In a video analysis, he elaborated that in previous instances where XRP surged, a negative candle on the three-month timeline typically indicated the onset of a downtrend or a macro consolidation phase.

He pointed out that in 2014, XRP printed a bearish candle following a notable rally, which was succeeded by a prolonged correction. "The same pattern occurred in 2018. After a significant rally for XRP, the appearance of a three-month bearish candle in the Heikin-Ashi formation led us into a bear market," ChartNerd explained.

The same trend repeated in 2021. Currently, XRP is forming a red candle on this timeline and has roughly 2 months and 16 days remaining to finish the quarter positively.

"We have until March before this candle closes. What we need to avoid is a full-bodied three-month Heikin-Ashi candle; if we see one, it could signal a deeper correction for the upcoming six to twelve months," the analyst concluded.

At the time of writing, XRP is trading at $2.05, reflecting a 1.7% decrease in the weekly timeframe.

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