The cryptocurrency market just experienced a volatile weekend as Bitcoin recorded a significant drop, at one point falling to $110,500 before a slight recovery above $112,700. However, while the leading cryptocurrency struggles, XRP is showing rare positive signals, attracting the attention of analysts.

Veteran Analyst: XRP Could Reach $5

On the social media platform X, Davinci Jeremie – a well-known trader who recommended buying BTC when the price was only $1 in 2011 – stated that XRP has the potential to break above $5 soon. He pointed out that XRP's recent price structure has formed a 'W' pattern along with new local highs, indicating a true growth phase, not price manipulation.

Positive Divergence Signal: Is XRP Preparing for the Next Price Surge?

According to trader CasiTrades, while BTC establishes a new local bottom, XRP remains strong in the accumulation zone, showing positive divergence signals – a sign often indicating an early signal for a strong price increase.

CasiTrades particularly emphasizes the $2.91 area as a 'golden retrace' – an important zone according to Elliott Wave theory, often marking the end of Wave 2 before entering a strong Wave 3. If XRP continues to hold steady at this level, the next target will be the resistance at $3.12. A clear breakout of this level could confirm a larger uptrend, paving the way for subsequent targets.

Technical Outlook: Resistance at $3.12 – $3.70 and Beyond

Analyst Ali Martinez (@ali_charts) also made a similar prediction, stating that XRP could test the $3.70 area in the near future based on technical patterns and increasing strength in Fibonacci extension indicators.

Currently, XRP is trading around $2.96, successfully defending the $2.90 area multiple times. Technical indicators such as the RSI (Relative Strength Index) are showing positive divergence, implying that the downtrend is weakening despite the price testing lower levels. Additionally, on-chain data like the Spent Output Profit Ratio (SOPR) also indicates that profit-taking pressure has significantly decreased, opening up opportunities for a new uptrend.

If XRP decisively breaks through the resistance level of $3.12, many experts believe the next target will be $3.70, followed by $4, and it may establish new highs if the uptrend is maintained.

Conclusion

In the context of the cryptocurrency market facing strong downward pressure, XRP's ability to maintain a growth structure and hold strong as BTC weakens makes this token stand out compared to many other major coins. While it is still too early to assert a strong long-term uptrend cycle, current signs suggest that XRP may be preparing for a new breakout.

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