Usman Salis
XRP appears to be approaching a critical juncture in its market cycle. According to Elliott Wave theory—a technical framework that identifies repetitive price patterns driven by investor psychology—the cryptocurrency may be setting up for its final major move.
Wave 4 Nearing Completion
Analyst STEPH IS CRYPTO recently highlighted compelling parallels between XRP's current chart structure and its 2020 cycle, suggesting that history might be preparing to repeat itself.
The analysis indicates XRP is wrapping up Wave 4, a consolidation phase that typically follows three prior waves of price movement. In Elliott Wave theory, Wave 5 represents the final push in a cycle and often delivers substantial gains when conditions align. Traders are now watching whether XRP can hold its ground above key support levels to confirm this bullish scenario.
Comparing 2020 and 2025: History Echoes
The current price action bears a remarkable resemblance to XRP's 2020 pattern:
- Structural Similarity: Both cycles show completion of Waves 1 through 3, followed by a corrective Wave 4
- Support Foundation: XRP is finding buyers between $2.60 and $2.90, a zone that has proven resilient during recent pullbacks
- Upside Potential: If Wave 5 materializes, the coin could climb toward $4.50–$5.50, mirroring previous cycle peaks
- Momentum Check: While recent price action shows some cooling, the broader uptrend structure hasn't broken down, leaving the door open for a breakout
Elliott Wave patterns work because they reflect how crowds behave during market cycles—optimism, fear, greed, and capitulation all leave recognizable footprints on charts. For XRP, the 2025 setup mirrors 2020 closely enough to warrant attention. Beyond technicals, fundamentals are also improving. Ripple's regulatory situation has clarified considerably, and the company continues expanding its global payment network, factors that could fuel institutional interest and support a bullish move.
Usman Salis
