Traders Predict Extended Consolidation Before XRP Reaches $10 Milestone
Despite maintaining critical support levels between $1.80 and $2, technical and onchain indicators point to a prolonged period of sideways trading before XRP can achieve its anticipated double-digit price target.
While XRP (XRP) could potentially experience another dramatic surge toward double-digit valuations, comparable market configurations from 2017 and 2022 indicate that a prolonged consolidation phase may be necessary before such a move materializes.
Key takeaways:
- XRP's broader market structure points toward a $10 target, though substantial consolidation appears necessary before any explosive upward movement.
- Since December 2024, XRP has maintained robust support between $1.80 and $2, a zone that has historically generated price rebounds ranging from 35% to 90%.
- Blockchain metrics indicate XRP has reached levels that have historically been followed by lateral price movement.
Extended accumulation phase required before XRP's next rally
XRP has successfully maintained the $1.78–$2 support zone that has remained intact since December 2024, as illustrated in the chart below.
Each time the XRP/USD trading pair has retested this foundational support level, it has subsequently rallied between 35% and 90%.
Should this pattern continue to unfold similarly, the asset could potentially appreciate by an additional 57% before the year concludes.
Market analyst Mikybull Crypto suggested XRP is "preparing for liftoff" pointing to strong support in the vicinity of the 2021 peak at $1.96.
According to analyst CryptoBull, "The price pattern is copying the previous bull run," highlighting XRP's consolidation behavior around its historical all-time highs observed in earlier market cycles.
CryptoBull further explained that the "only difference is time, which makes sense, as we need longer accumulation for higher prices."
It's worth noting that following its decline beneath previous peak levels in 2022, the XRP/USD pair traded laterally within a $0.30 to $0.70 range for over three years before ultimately breaking out with a 390% surge in December 2024.
Should history repeat itself, XRP's price may continue consolidating near the $2 level (representing 2021 highs) for a considerable duration before initiating a substantial upward breakthrough.
CryptoBull projected that "The next impulse will take XRP to $11 and the last wave to $70."
Current XRP valuation appears 'undervalued' at $1.90, but consolidation likely ahead
Blockchain analytics also reveal parallels between the present XRP market structure and past bullish cycles.
The net unrealized profit/loss (NUPL) metric for XRP has moved into the "capitulation zone (red)," a territory historically correlated with cycle lows.
The NUPL indicator calculates the differential between the aggregate unrealized gains and losses held by XRP investors.
Throughout previous market cycles, the shift into capitulation territory has aligned with prolonged consolidation phases, as demonstrated in the chart below.
The market value to realized value (MVRV) ratio further reinforces this consolidation hypothesis. Currently registering a daily reading of 1.23, which is substantially below the 2017 peak of 14.73 and the 2021 high of 3.9, this indicator implies XRP is trading at relatively undervalued levels.
This comparatively lower MVRV ratio signals diminished selling pressure from profit-takers and enhanced potential for long-term price growth.
However, before such appreciation occurs, XRP's price could trade sideways for an extended timeframe before beginning a sustained upward trajectory.
As previously covered by Cointelegraph, maintaining support at the $1.80–$2.00 level and successfully recapturing the $2.22 threshold would preserve XRP's optimistic outlook, supported by dormant purchasing demand that is gradually accumulating in the derivatives market.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.