XRP Price Prediction: Analyst Warns of Possible Drop Before Rally Toward $31.64
XRP could face another significant decline before beginning a broader recovery, according to cryptocurrency analyst EGRAG Crypto. His latest technical analysis identifies a potential market shakeout near the $1 level, followed by a possible rally toward Fibonacci extension targets as high as $31.64.
The forecast is based on patterns observed during previous XRP market cycles in 2020 and 2023. EGRAG argues that similar price structures could be developing again, although the projected recovery remains conditional on XRP holding key support and reclaiming important technical resistance levels.
Historical XRP Patterns Suggest Another Potential Shakeout
EGRAG's analysis examines three descending resistance formations associated with previous XRP recoveries. The first appeared around 2020, when the cryptocurrency experienced a sharp downward wick near a descending resistance line before its subsequent market movement.
 |
| Source: EGRAG Crypto |
A comparable structure developed around 2023. XRP experienced another decline before gradually recovering from a lower trading range. Both historical formations involved the 21-period exponential moving average (EMA), which features prominently in the analyst's current assessment.
The third descending trendline is now approaching XRP's ascending support structure near the psychologically important $1 level. EGRAG believes this technical intersection could precede another downward move, potentially creating a final shakeout before renewed buying activity emerges.
XRP Support Levels and Fibonacci Targets
The TradingView chart referenced in the analysis places XRP near $0.9844, with its two-week candle down approximately 11.40%. The price is approaching an intersection between descending resistance and an ascending white trendline connecting several historical support areas.
EGRAG identifies the $0.75 to $0.85 range as a major support zone. The $1 level remains the immediate area of contention, while a sustained breakdown of support could expose XRP to further losses.
On the upside, the analyst outlines several Fibonacci extension scenarios at $6.81, $10.30, $16.17, and $31.64. These figures represent speculative technical targets rather than confirmed price forecasts, and the analysis does not provide a timeline for reaching them.
What XRP Needs Before a Potential Recovery
A downward wick alone would not establish that XRP has reached a market bottom or confirmed a bullish reversal. According to EGRAG, the cryptocurrency would need to reclaim its descending trendline and the 21-period EMA with strength to support the recovery scenario.
Conversely, a sustained break below the identified support structure could lead to additional downside pressure. Any move toward the higher Fibonacci targets would depend on renewed buying momentum and a convincing recovery above resistance.
For now, the analysis presents two possible paths: another decline toward lower support levels or a recovery if XRP regains key technical levels. The projected rally toward $31.64 remains a speculative scenario rather than an established market outcome.
Writer: Marcus RenfieldCrypto Market Analyst & Onchain WriterMarcus Renfield covers cryptocurrency markets with a focus on onchain data, Bitcoin price action, and emerging market narratives. His writing examines how capital flows, network activity, and broader market structure influence short- and medium-term trends.He aims to provide clear, data-informed analysis for readers seeking a deeper understanding of crypto market dynamics.