XRP Is Making Moves Not Seen Since 2021: Here's Why It Matters

XRP price news

Summary:
XRP has shown a significant relative strength against Ethereum (ETH) for the first time since 2021. A recent analysis indicates that XRP is currently at a pivotal point, which could lead to future price increases if it manages to hold certain levels.

Key Takeaways:

XRP is declining in the 2-week Ichimoku cloud, showing potential support levels.
The XRP/ETH pair is signaling a possible "regime change."
XRP must close above $2.30 to move towards targets of $2.59 and $2.95, with potential highs nearing $9 if momentum builds.
Market sentiment remains cautious, with many still skeptical about XRP’s long-term rally.

Is XRP Positioning Itself to Outperform ETH?

According to crypto analyst Matt Hughes, also known as “The Great Mattsby,” XRP is displaying a rare strength relative to Ethereum (ETH) as it approaches a critical support level. Hughes references a two-week Ichimoku cloud that has not held firmly as support since 2021. The current market scenario presents a crucial “prove it” moment for XRP. If it reclaims one level, there could be opportunities for growth; however, if it fails, any breakout might still be premature.

XRP/ETH chart: 2-week Ichimoku cloud

XRP's Path to $9

Transitioning from relative performance to more technical aspects, Hughes analyzes the daily XRP/USD chart. Here, XRP seems to be engaged in a prolonged consolidation, fluctuating between horizontal levels while adhering to sloped fan lines that illustrate why upward movements have faced repeated resistance.

Hughes emphasizes one crucial threshold to watch: “Price moves in increments, and this Gann fan perfectly illustrates why price is stuck in its current range. Once XRP can close candles above $2.30, the upward movement can proceed.” If XRP surpasses this key level, it may aim for subsequent targets of $2.59 and $2.95.

XRP daily chart: Gann fan

The weekly XRP/USD chart indicates further upside potential if XRP can solidly surpass the $2.30 mark. Two extension levels identified—2.272 at $3.09882 and 2.618 at $9.00194—suggest that if momentum persists, XRP might first aim for the low-$3 range before targeting higher levels. Hughes outlines this bullish expectation as a two-step process: ensuring a close above $2.30 and converting the major zone prior to the 2025 high into support. He confidently states on X, “XRP’s been grinding sideways for over a year while many other altcoins suffered. It’s not IF it hits $9—it’s WHEN. Key flip: $3.09 becomes support and then its go time.”

XRP weekly chart target the 2.618 Fib

The failure scenario is straightforward. Should XRP not secure closes above $2.30, it may remain trapped within the existing range, potentially reverting back toward $1.78. Nevertheless, Hughes argues that a price drop to this level wouldn't undermine XRP's favorable long-term trend. He points out a disconnect between market perception and actual chart metrics: “An actual infant in diapers and a 120-year-old grandpa who’s forgotten his own name can look at this chart and go, ‘Yep, classic breakout above the 2021 top, now flipping it to rock-solid support.’ Meanwhile, every bear on X, their mailman, their mailman’s dog walker, and that one guy who still thinks it’s 2022 are out here screaming ‘BEARISH! DOOM! SELL YOUR KIDS!’ like it’s still the bear market special. Bro, even my grandma’s bingo partner is bullish at this point. Wake up and smell the bull fuel.”

XRP weekly chart: classical retest of 2021 breakout

At the time of writing, XRP was trading at $1.9799.

XRP price chart