Four Chart Overlays Show XRP Historically Rallies from Current Levels

2026-01-22 15:26:50

Source: CryptoNewsNet Original Title: Four Chart Overlays Show XRP Historically Rallies from the Current Levels Original Link:

XRP Price Analysis: Historical Patterns Suggest Recovery Ahead

While XRP has been at the mercy of the bears, market data suggests a recovery effort may not be far off. For context, after a disastrous Q4 2025, XRP embarked on a rebound push that drove prices to $2.41 by Jan. 6, 2026. However, resistance at this level led to a pullback, with XRP struggling to hold above the $1.9 support.

Despite the downward trend, historical data from previous cycles indicate that whenever XRP surges, pulls back, and consolidates around levels like the current position, what typically follows is another upward push. The current cycle appears to be following the exact same trend, which has played out four times since 2015.

Key Points

XRP has struggled since collapsing from the $2.41 high on Jan. 6, down 19% since this yearly peak.
The recent struggles, which began in late 2025, come after a consolidation period that defined most of 2025 following the initial rally recorded earlier that year.
Historical data from four different chart overlays suggest that XRP witnessed similar patterns in past cycles, eventually rallying from levels that resemble the current position.
While historical data points to a possible reversal in the works, past success does not always guarantee future results.

XRP Declines After Initial Upsurge

A well-regarded chartist recently discussed this pattern in technical analysis. The market watcher stressed that XRP may be near the end of the current consolidation phase, suggesting that volatility could return to the market when the bulls finally arrive.

For context, the ongoing phase follows an initial rally recorded by XRP a year ago. Specifically, XRP witnessed an impressive rally from $0.5 in November 2024 to $3.4 by January 2025, representing a 580% increase in three months. After the $3.4 peak, the price corrected and has since continued to consolidate.

Within this consolidation, XRP has seen occasional upswings above $3 and declines below $2, but it has largely maintained a position around the $2 price, currently trading for $1.95. The consolidation, which has lasted for a year now, could be close to an end.

Four Chart Overlays Provide Historical Data

According to historical analysis, XRP currently trades within a structure that looks similar to XRP’s price action in previous cycles. Specifically, the structure involves an initial upsurge, a pullback from this upsurge, a consolidation, and then a recovery push.

Four different occasions have been identified in which this structure played out:

First Cycle (2015-2018): XRP surged from $0.004 to $0.009 in December 2015, then pulled back to $0.005. After a slight recovery, XRP consolidated around $0.006 from February 2016 to March 2017. From here, an explosive run ensued, pushing prices to $3.31 by January 2018.

Second Cycle (2023-2025): XRP surged from $0.4 to $0.94 in July 2023 and immediately pulled back to around $0.6. From here, it consolidated between $0.5 and $0.6 from August 2023 to November 2024, when a rally pushed prices to $3.4 by January 2025.

Third Cycle (2022-2023): XRP hit $0.92 in March 2022 and pulled back to $0.4 in May of that year. After consolidating at this level from May 2022 to June 2023, it saw a rally to $0.94 by July 2023.

Fourth Cycle (2019-2021): XRP dropped from $0.5 in June 2019 to $0.2 in September 2019. After this, it consolidated until April 2021, when a rally took prices to $1.96.

Consolidation Near an End?

Based on these patterns, XRP now sits at the same position as it did in all four occasions before the final rally. This would put XRP in the same area it traded at in March 2017, April 2021, July 2023, and November 2024. If this proves true, the recovery push may not be far behind.

However, it’s important to note that past performance does not guarantee future results, and investors should conduct their own due diligence before making trading decisions.

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