XRP Buy Signal Targets New Levels

What to Know:

• XRP has pulled back 61% from its cycle high, shaking out some bullish sentiment.
• Analysts are eyeing accumulation zones, similar to patterns before previous rallies.
• Deeper pullbacks could offer “maximum opportunity” for institutional investors to build long-term positions in XRP.

XRP has experienced a significant retracement, falling from its cycle high of $3.66. The 61% decline has tested market sentiment, but some analysts view this pullback as a potential buying opportunity, reminiscent of accumulation phases seen before major rallies. While uncertainty remains, historical patterns suggest strategic accumulation during dips could yield substantial long-term gains.

XRP Enters Potential Accumulation Zone

Technical analyst Crypto Patel notes that XRP’s current price action resembles previous accumulation phases. He identifies the $1.30–$1.50 range on the XRP/USDT chart as an initial accumulation zone, aligning with prior support levels and a fair-value gap that has historically attracted buyers during market corrections. At its current trading price around $1.42, XRP sits within this zone. Patel advises against aggressive entries, suggesting instead a gradual accumulation strategy, given that strong retracements often require time to establish durable bottoms.

Deeper Pullback Scenario

Patel also considers a scenario where selling pressure intensifies. A break below $1.30 could drive XRP down to a lower demand zone between $0.70 and $0.90. This range is labeled a “maximum opportunity” for long-term investors. From a technical perspective, this lower range coincides with a previous accumulation zone that served as a launchpad for substantial upside moves in past market cycles.

Long-Term Price Target

Despite the current correction, Patel maintains a long-term price target of $10 for XRP. He argues that buying during deep dips offers a better risk-reward profile compared to chasing prices near highs. He notes that entries around $1.50 to $1 during significant dips provide a more substantial upside potential if the long-term target of $10 is realized. This perspective aligns with a contrarian approach, capitalizing on market volatility to establish positions at favorable prices.

Historical Rally as Precedent

Patel references his previous XRP analysis during the last bear market, when he highlighted an accumulation zone near $0.50. Following that setup, XRP eventually rallied to $3.66, delivering gains of over 600%. This historical precedent underscores the potential for significant returns when accumulating XRP during market downturns. The comparison suggests that similar patterns of accumulation followed by explosive rallies could repeat in the current market cycle.

Broader Analyst Perspectives

Other analysts offer varied perspectives. Technical analyst The Great Martis suggests XRP’s decline could extend to $0.50, representing an 83% drop from its peak. He characterizes the current phase as a corrective process following the 2024–2025 rally. CryptoBull, on the other hand, anticipates a prolonged accumulation phase leading to an initial target of $11, with potential for as high as $70 over the long term if historical patterns are replicated. These diverse viewpoints highlight the inherent uncertainty and varying interpretations of market dynamics.

While XRP faces near-term price pressures, analysts suggest that strategic accumulation during dips could offer attractive long-term opportunities. The potential for a deeper pullback to the $0.70–$0.90 range is viewed as a “maximum opportunity” for institutional investors to establish or increase their positions. Patience and a long-term perspective remain crucial, as XRP could experience further volatility before its next major uptrend.

Related: XRP RWA Integration Targets $24B Market

Source: Original article