XRP (XRP) has surged 134% since the US election on November 6, pushing its annual returns into positive territory exceeding 80%. The price of XRP has surpassed $1 for the first time since December 2021.
XRP/USD weekly price chart. Source: TradingView
According to the current technical situation, XRP is marked as an overbought asset, which usually corresponds to a period of consolidation or a complete correction.
Be that as it may, the long-term chart of the cryptocurrency suggests further gains in 2025.
XRP price falls after 3-year high
On November 16, XRP’s daily Relative Strength Index (RSI) surged above 93, an overbought level not seen since March 2017. This surge took the XRP/USD pair to new highs, with the daily price soaring 42%. About $1.25.
The price of XRP has since fallen about 9.75% and is now stabilizing above $1, the threshold that transitioned from resistance to support.
The consolidation trend suggests that traders are taking a break to prepare for the market’s next move.
XRP/USD daily price chart. Source: TradingView
Since overbought RSI favors the possibility of further correction rather than price appreciation, the XRP market will have conflicting biases.
If the correction continues, the price of
relevant: XRP price falls 20% after reaching multi-year highs — has it reached its peak?
On the other hand, XRP’s continued momentum could lead to a retest of local highs of $1.25 in the coming days, but a break above this in the near term could be problematic for the bulls, given the technical setup.
XRP/USD weekly chart gains 50%.
On the weekly chart, XRP appears to have broken out of a giant symmetrical triangle pattern in November, ending a seven-year consolidation trend.
Interestingly, the triangle breakout is similar to the March 2017 breakout that preceded the 46,440% price increase.
XRP/USD weekly price chart. Source: TradingView
As of November 18, XRP is consolidating between the 0.236 and 0.382 Fibonacci retracement levels and is correcting in the $0.87 to $1.35 area.
To confirm a long-term bullish cycle, the XRP/USD pair needs to break above $1.35. That could happen if President-elect Donald Trump fires Gary Gensler from his position as chairman of the Securities and Exchange Commission (SEC). This also applies if the institution approves a spot XRP exchange-traded fund (ETF).
By 2025, the primary upside target for this bullish scenario appears to be around $1.75, which coincides with the 0.5 Fib line, up about 50% from current price levels.
This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.