Leading cryptocurrency analyst EGRAG has revealed a timeline for XRP to surpass its $5 target and set new highs by double-digit prices of $27.
XRP has emerged as a winner in the recent bull cycle, and widely followed market analysts are optimistic that the sky is the limit for this altcoin. EGRAG utilizes pointers captured in its Bifrost Bridge analysis to suggest how long XRP holders will wait for the cryptocurrency asset to demand new heights.
that analyze by EGRAG follows XRP’s latest performance, which saw the cryptocurrency asset surge 280% from $0.51309 to $1.90 in November, according to CoinGecko data. This upward trend represents the best monthly performance for the fourth-largest cryptocurrency by market value in seven years.
A closer look at the charts shows that XRP is still going strong and the asset is continuing its upward momentum in December. Notably, XRP rose an additional 25% over the two weeks through December.
Crypto analyst EGRAG compares the recent rally to the trajectory XRP experienced during the 2017 cycle. He notes that the general price action is reminiscent of the pattern seen before XRP reached its all-time high of $3.31 in early 2018.
Analysts utilize Bifrost Bridge analysis to predict two potential targets for XRP: $6 and $27. In particular, he aligns his targets with Fibonacci retracement levels and past price action.
XRP Path Towards $6 and $27 Price Targets
In a recent analysis, EGRAG shows XRP’s movements in early 2017. The altcoin surged 150% in a critical support area identified by analysts as a ‘purple fundamental’.
This rally set the momentum for a stunning 1,330% jump in May of that year. EGRAG believes that the current cycle may reflect this trajectory. Therefore, the analyst says that if XRP replicates the same percentage gains, the altcoin could reach new heights.
EGRAG reflects the December monthly candle with the belief that XRP is eyeing a ‘gold zone’ within the $4.3 – $6.4 range. A closer look at the chart shows that the initial target is aligned with the 1.414 and 1.618 Fibonacci retracement levels.
EGRAG added that XRP is poised for a massive 1,330% rally that could push XRP within the second gold zone by January 2025. He expects this area to be located within $13.7 and $27.3, which coincides with another retracement zone.
EGRAG defies market capitalization skepticism
Analysts weighed in on the skepticism that has emerged recently as doubts about whether XRP can gain enough momentum toward that goal. Critics are focusing their skepticism on the larger market cap and increased liquidity of modern cryptocurrency markets.
EGRAG downplays these claims by comparing market caps in 2017 and 2024. In May 2017, the market value of digital assets was $60 billion. Today, that figure has increased 61-fold to $3.7 trillion.
Analysts claim that applying a 6000% multiplier to XRP’s market cap of $15 billion would hypothetically result in $900 billion. To put the numbers into context, if XRP were valued at $5 trillion or $10 trillion, it would rise to 9%, or an 18% share of the total market capitalization.
Considering the growing use cases in cross-border payments, analysts consider the capacity of XRP to achieve such dominance. Previously, Ripple Labs CEO Brad Garlinghouse predicted that the overall market capitalization could rise to $5 trillion.
According to the daily chart, XRP has a market capitalization of $2.41, giving it a market capitalization of $138 billion and a dominance of about $3.96. Reclaiming its 31% market dominance from 2017 would bring XRP’s market capitalization close to $1 trillion.
The fractal pattern witnessed in 2017 appears to be repeating itself in 2024, with a 283% surge seen in November. XRP appears to be facing bearish pressure this month, but shows excellent resilience compared to the first week of April 2017.