XRP has surged to $2.96, erasing its early 2025 losses and reaching its highest value in six years. The cryptocurrency’s remarkable rebound, which saw a 30% increase from its monthly low, has been attributed to significant whale accumulation and optimistic market conditions. Investors holding between 1 million and 10 million tokens have played a key role in this upward trend.

Positive developments, including a bullish prediction by a JPMorgan analyst, have further boosted market sentiment. The analyst estimates that approval of US-based XRP exchange-traded funds (ETFs) could attract $4 billion to $8 billion in new investments. Additionally, the inauguration of President-elect Donald Trump on January 20 is seen as a potential catalyst for regulatory breakthroughs, including the approval of spot XRP ETFs.

Bull Flag Breakout Targets $4.16

XRP has entered the breakout phase of a bullish flag pattern, which began forming after a 105% rally in November and December 2024. Trading above $2.72, XRP has surpassed the pattern’s upper boundary, indicating potential further gains.

Technical analysis suggests the price could climb 50% from current levels, with a target of $4.16. XRP’s relative strength index (RSI) at 66 indicates room for upward momentum, while the 50-day exponential moving average (EMA) at $2.15 provides strong support.

Weekly Chart Hints at Double-Digit Price Levels

On the weekly chart, XRP has also broken out of a bull pennant pattern, a consolidation structure that typically resolves in the direction of the preceding uptrend. Based on the flagpole height, this breakout projects a price target of $13 to $14 in the coming months, representing a 370% increase from current levels.

Key support levels, including the 50-week EMA at $1.64 and the 200-week EMA at $0.69, reinforce the bullish outlook. Intermediate resistance points are expected around $3 and $4.62, with a potential long-term target at the 4.618 Fibonacci extension level near $13.

Historical Patterns Suggest $18 Potential

Chartist Dark Defender has drawn parallels between XRP’s current uptrend and its 2017 bull market performance, during which the cryptocurrency posted gains exceeding 1,000%. Based on historical Fibonacci retracement levels, the analyst predicts XRP could reach $10.22 and subsequently $18.23 in the near term.

While XRP’s RSI on the weekly chart stands at 79.5, indicating an overbought condition that may trigger short-term corrections, the broader outlook remains optimistic. With strong technical and fundamental indicators, XRP appears poised for significant growth in 2025.

As market anticipation builds around regulatory developments and ETF approvals, XRP’s path to double-digit prices seems increasingly achievable.