XRP Set to Outperform Ethereum on Bullish Divergence

Technical analyst Charting Guy has identified a compelling technical pattern on the XRP/ETH weekly chart that suggests XRP may be poised for short-term outperformance against Ethereum. The analysis, shared on social media platform X, highlights the formation of a bullish divergence in the Relative Strength Index (RSI) that hasn’t appeared since mid-2024. This development signals a constructive shift in momentum that could favor XRP’s price action over Ethereum for the next three months.

The core of Charting Guy’s analysis centers on the XRP/ETH weekly RSI, which was previously rejected but has now reversed into a bullish divergence. The RSI has turned upward from a low region while the price closed at a lower low last week, creating the classic divergence pattern that indicates waning selling pressure and XRP building strength against Ethereum. The yellow RSI moving average has also started to flatten, providing another signal that momentum could be stabilizing before a potential breakout.

The current technical configuration bears striking resemblance to a pattern that emerged in June 2024, which preceded a substantial move in XRP’s favor. During that period, the XRP/ETH pair rose from 0.00015 to as high as 0.0003 by August 2024, representing significant outperformance by XRP against the larger cryptocurrency. After retracing, the pair picked up momentum again in November 2024, demonstrating the pattern’s predictive power.

Currently, the XRP/ETH pair is consolidating near the 0.00063 ratio level, with the RSI’s upward curve pointing to increased market participation on the XRP side while Ethereum’s relative momentum continues to slow. Charting Guy’s analysis suggests that if the pattern repeats, it could mark the beginning of another short-term cycle of XRP strength against ETH, potentially mirroring the substantial gains seen in mid-2024.

Charting Guy’s projection, visualized in blue on his technical chart, uses the performance of the XRP/ETH pair between July 2024 and March 2025 to predict the next move. The analysis places the XRP/ETH pair trading above 0.00015 by March 2026, with the most significant gains expected over the next three months. The analyst concluded his assessment with a strong statement: “I am VERY bullish on $XRP > $ETH the next 3 months.”

If XRP manages to outperform Ethereum as predicted, it could significantly close the gap in their market capitalizations. At the time of writing, XRP is trading at $2.64 with a $158 billion market cap, while Ethereum trades at $4,025 with a $486 billion market cap. Such outperformance would represent a notable shift in the altcoin hierarchy and could position XRP for leadership among major cryptocurrencies during the next quarter.

The technical analysis provided by Charting Guy offers a data-driven perspective on the evolving relationship between these two major cryptocurrencies. While past performance doesn’t guarantee future results, the historical precedent combined with current technical signals presents a compelling case for XRP’s potential short-term strength against Ethereum, making this development worth watching for cryptocurrency traders and investors alike.