XRP Could 6x From Current Levels: Is It Feasible?

XRP, Ripple’s native cryptocurrency, has been making waves recently by not only achieving significant gains but also surpassing key competitors to become the third-largest crypto asset by market capitalization. As XRP’s momentum builds, some market observers are beginning to speculate whether a dramatic 6x surge is within reach.

After rallying to what many believe is a new all-time high, XRP outpaced Tether’s USDT in terms of market cap, reaching approximately $208 billion. This surge has stirred discussions across social media platforms, where trading enthusiasts and crypto analysts are eager to predict its next big move.

Could XRP See a 6x Growth from Here?

John Squire, a prominent figure in the XRP community and regular chart analyst, has drawn attention to a recurring pattern he’s noticed on XRP’s bi-weekly chart. According to Squire, a similar market structure appeared roughly 36 weeks ago, which preceded a massive 6x increase in value. He believes that history may be setting the stage for a similar rally.

“If history rhymes, we might be in for another rocket,” said Squire.

While this hypothesis has excited many XRP supporters, its plausibility hinges on some very ambitious financial assumptions. For XRP to multiply its value by six from its current valuation, it would need a market cap of around $1.2 trillion—triple that of Ethereum’s present size. This level of growth would place it closer to Bitcoin’s territory, a feat that would require significant structural and investment changes in the broader crypto market.

Adding to this challenge, achieving such a valuation demands a consistent flow of buy-side liquidity in the hundreds of millions—if not billions—of dollars. To put this into perspective, a modest 2% rise in XRP’s rate on Binance would necessitate over $12 million in active buys. Binance alone handles about 14% of XRP’s daily trading volume. This illustrates the immense liquidity pressure required to sustain such an exponential move.

XRP’s Near-Term Outlook

Short-term data shows a slight pullback. XRP’s trading volume has dipped roughly 15% over the last 24 hours, suggesting that buyers may be momentarily taking a breather. The asset has been in a consolidating phase, hovering around its recent highs as the market prepares for a potential breakout or a retracement.

The sentiment from institutional investors still appears positive. Notably, Thumzup Media Corporation, listed on Nasdaq, recently approved a $250 million strategy to reinforce its crypto portfolio. As part of this plan, they will be dedicating capital to major altcoins including XRP, Ethereum (ETH), Solana (SOL), Dogecoin (DOGE), and Litecoin (LTC). Such institutional backing often instills more confidence in both retail and larger investors.

Meanwhile, crypto analyst Lark Davis shared a bullish outlook, predicting that if XRP can maintain stability above the essential $3 threshold, it could climb further to $4.1 or even $4.5. This would mark a new milestone and, as Davis suggests, propel XRP into what he calls “bonkers territory.”

Related: XRP Price: $12M Max Pain for Bears

Though the idea of XRP surging six-fold sparks excitement, it’s important to contextualize such claims. The magnitude of capital and liquidity involved in boosting XRP to over a trillion-dollar market cap makes it a challenging, albeit not impossible, scenario. In the near term, market conditions, investor confidence, and regulatory clarity will significantly influence whether XRP can keep up its momentum or pause for breath.