Introduction
A rare technical signal has emerged for XRP as its stochastic RSI hits 0.0 for only the second time in its history, suggesting selling pressure may be nearing exhaustion. While the altcoin continues to trade below the critical $2 psychological level and has posted significant quarterly losses, sustained buying pressure from exchange-traded funds provides a counterbalance. Analysts interpret this confluence of signals as a potential precursor to a bottoming phase, with divergent timelines ranging from a near-term momentum shift to a major supercycle predicted for next year.
Key Points
- XRP's stochastic RSI hitting 0.0 historically preceded major bottoms, with the only previous occurrence in 2020 before the Terra LUNA crash.
- XRP ETFs have maintained uninterrupted daily net inflows since launch, holding $1.25 billion in assets despite the altcoin's 35% quarterly decline.
- Analysts present divergent timelines, with some focusing on immediate resistance at $1.98-$2.58 and others predicting a 2025 supercycle driving prices to $10+.
A Rare Technical Signal Points to Potential Exhaustion
Crypto analyst Skipper has drawn attention to a significant technical development for XRP, revealing that its stochastic RSI has hit 0.0 on the 3-week chart. According to Skipper, this event has only occurred once before, in 2020, right before the altcoin bottomed at $0.28 during the market turmoil surrounding the Terra LUNA crash. Analyst Steph, whose discovery was highlighted by Skipper, suggested this extreme reading could indicate that selling pressure is almost gone for XRP, though a rapid price bounce may not be immediate.
The context for this signal is a challenging period for XRP. The asset is down 35% this quarter and 10% year-to-date, marking its first yearly loss since 2022, and remains below the key $2 level. Skipper emphasized that the drop in the stochastic RSI marks cycle lows rather than short-term trading signals. Historical precedent supports a cautious interpretation; following the 2020 signal, XRP notably stayed flat for months before beginning its recovery, suggesting patience may be required despite the potentially bullish long-term implication of exhausted sellers.
ETF Inflows Provide a Sustained Counterbalance
While technical indicators suggest selling pressure may be cooling, XRP continues to receive significant and consistent buying pressure from a specific source: XRP exchange-traded funds (ETFs). Data from SoSo Value shows these funds have recorded daily net inflows since their launch, building a substantial position. As a result, they now hold net assets totaling $1.25 billion, which represents almost 1% of XRP’s total market capitalization.
This persistent institutional or structured product demand creates a foundational layer of support beneath the price. The uninterrupted inflow streak, maintained even as XRP’s price has declined, indicates a divergence between short-term price action and longer-term capital allocation. This ETF-driven buying pressure is cited by analysts like Skipper as a positive fundamental factor that counteracts the bearish sentiment reflected in the recent price performance.
Analysts Chart Divergent Paths Forward
The analyst community presents a spectrum of outlooks for XRP, ranging from near-term technical targets to multi-year supercycle predictions. Crypto analyst Crypto King advocates for patience, focusing on immediate price action. He notes that XRP is holding just above a critical support level of $1.85. A strong bounce and a reclaim of the $1.98 level would, in his view, signal a momentum shift. Should that occur, his first upside target is resistance at $2.58, with further room to rally toward $3.66.
In contrast, a longer-term and more bullish narrative is presented by self-acclaimed largest IQ holder YoungHoon Kim. In an X post, Kim stated that an “XRP supercycle” will happen next year. This forecast is based on his earlier prediction that the altcoin could reach $10 or higher in 2025, which would mark new all-time highs. Kim’s thesis appears rooted in a macro belief that “all crypto will eventually connect with XRP,” though the specific mechanisms for this connection are not detailed in the provided text.
At the time of writing, data from CoinMarketCap shows the XRP price trading at around $1.86, down slightly over the last 24 hours. This places the asset in a tense equilibrium, caught between a historically significant oversold technical signal, consistent ETF inflows, and the immediate struggle to hold support and challenge higher resistance levels. The coming months will test whether the signal from the stochastic RSI indeed marks a cycle low, as in 2020, or if the asset faces further consolidation before a decisive move.
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