XRP Price Prediction: Strong Buy Opportunity After 50% Pullback?

The recent dip in XRP price prediction has reignited investor interest, especially after a sharp 50% drop. Traders are now wondering if this correction presents a strategic entry point, with long-term projections still aiming toward the $5 benchmark.

Ripple’s XRP saw a notable selloff recently, declining from local highs around $1.10 down to nearly $0.50. This dramatic retreat reflects a 50% drop in valuation, triggering fresh speculation over the digital asset’s next potential move. Such corrections are not unusual in crypto markets but often signify favorable risk-to-reward setups for patient investors.

Despite the volatility, XRP remains fundamentally strong. One encouraging sign is the token’s ability to find support above the psychologically significant $0.50 level. Historically, this price zone has acted as a springboard for bullish reversals. Technical indicators also support a possible turnaround; momentum, volume dynamics, and trend lines suggest accumulation rather than continuous decline.

Analysts point to a confluence of technical and macroeconomic factors influencing the recent slide. Profit-taking after significant gains earlier in 2024, combined with regulatory uncertainty in the U.S., likely contributed to XRP’s downward pressure. Still, its underlying technology and strategic goals — especially Ripple’s continued expansion of cross-border payment solutions — remain intact.

From a chart analysis perspective, XRP is currently hovering near its 200-day moving average, a strong long-term support indicator. Price consolidation at this level suggests that sellers may be exhausted and that bulls could regain control. If that happens, XRP could enter a new upward trajectory, with $0.85 and $1.10 being initial resistance zones before aiming toward $2 and, eventually, the highly anticipated $5 mark.

The Relative Strength Index (RSI) also supports a potentially bullish scenario. With XRP’s RSI sitting in oversold territory, the asset appears primed for a rebound. Historically, such RSI zones have coincided with major price reversals for XRP, reinforcing the idea that the current prices might offer excellent long-term value.

Market sentiment is gradually turning optimistic. Blockchain analysts have pointed out increased whale accumulation — where large wallets are accumulating significant amounts of XRP. This trend often precedes major rallies, as big players tap into undervalued zones ahead of retail investors.

Furthermore, Ripple’s legal situation with the SEC has seen developments that, while not entirely resolved, present a more optimistic outlook than in previous years. The court’s partial rulings in Ripple’s favor have alleviated some investor trepidation, encouraging renewed confidence in XRP’s regulatory clarity over time.

Some experts have gone as far as projecting XRP hitting the $5 mark later this year, especially if broader market conditions improve and sentiment remains positive. Though ambitious, such predictions are not without precedent, as XRP has surged dramatically during previous bull cycles.

Related: Expert Advice: Sell XRP If You’re Confused

For those considering entry, this could be a tactical moment. Of course, risks remain — particularly around regulatory developments and broader crypto market fluctuations — but the current valuation may represent an attractive price point relative to XRP’s long-term potential.