Two Key Fibonacci Thresholds Position XRP Price at $8.40 and $27

XRP has demonstrated remarkable price movements over the past week. The cryptocurrency surpassed $2.6 again within the last 24 hours, marking its first return to this level since early March, roughly two months ago. This rise corresponds with the upward trend anticipated by various analysts, who are using Fibonacci retracement levels to forecast XRP’s price direction.

Remarkably, a crypto analyst has shared an ambitious forecast on social media platform X that indicates XRP could potentially reach $8.40 and $27 within this market cycle.

Analyst Sets Fibonacci Targets at $8.40 and $27

The current pricing pattern of XRP has been largely influenced by its recent breakout from a narrowing wedge formation that had constrained price fluctuation since 2021 through early 2024. This pattern, observable on the monthly candlestick chart, served as a prolonged consolidation area that limited upward movement and established a range-bound market. 

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The eventual emergence from this formation signaled the end of an extended bear market and ushered in a new bullish phase. Despite the corrections and consolidations experienced in the past few months after XRP peaked at $3.31 in January, recent momentum suggests a forthcoming upward trend.

An analyst on social media has highlighted two Fibonacci extension levels that may act as target zones in XRP’s upcoming upward movement. The analysis notes that XRP achieved both its 1.272 and 1.618 Fibonacci extension targets in the last cycle after breaking out from a similar multi-year wedge accumulation structure in 2017.

Notably, this 2017 movement leading to the current price action is part of the same Elliott wave count structure. As depicted in the chart, XRP rose from $0.00310 in 2017 to an all-time high of $3.40 in 2018 during its third wave (marked as (3)), reaching the 1.272 and 1.618 Fibonacci extension levels before pulling back in the fourth wave.

According to the analyst, the ongoing price activity since 2020 represents the development of the fifth impulse wave. Utilizing the same extension methodology for the price structure starting from the 2020 low of $0.11379, a movement towards these Fibonacci extension levels suggests targets of $8.40 at the 1.272 level and $27.23 at the 1.618 level.

Is XRP Poised to Reach $8.40 or Even $27 in This Cycle?

The potential for XRP to rise to $8.40 or $27 in this market cycle remains uncertain. While the 2017 to 2018 surge saw XRP ascend over 1,000% in mere weeks presents an enticing scenario, the present market landscape is considerably more complicated. The required inflows and trading volumes to elevate XRP’s price to such heights would far exceed past figures.

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Nonetheless, from a technical analysis standpoint, these Fibonacci targets are achievable when considering similar pricing behaviors in previous cycles. The rally from $0.00310 to over $3.40 in 2017 provides a noteworthy example. A further analysis suggests that XRP could attain a price of $15 in the near future.

Currently, XRP is trading at $2.50, reflecting a 3.4% increase in the last 24 hours, with an intraday high of $2.61.

Illustration from Getty Images, chart from Tradingview.com