XRP Mirrors 2016 Trend That Led To 69% Crash | Crypto News
XRP has struggled to create any upside traction over the past few days, with the price rejecting above $2.15 in the center of the week and now back to lingering just above the $2 stage.
A new long-term technical comparability shared by crypto analyst ChartNerd locations XRP’s price habits since its July all-time high of $3.65 into an attention-grabbing context, implying that what XRP is doing now resembles a part from its 2016 market cycle that factors to an incoming enormous rally.
Repeating 2016 Rejection And ABC Crash Structure
According to crypto analyst ChartNerd, XRP’s current construction matches a related price motion that unfolded in late 2016. when price rejected an accumulation provide block and rolled into an ABC corrective transfer. That correction in the end produced a 69% flash-wick decline that prolonged into the first quarter of 2017.
The drop was extreme and unfolded over a number of months, finally pushing XRP to as low as $0.00240, but it will definitely represented the end of the correction reasonably than the end of the bullish cycle.
The chart accompanying the analysis, which is shown below, highlights a related rejection sample forming now. This sample is based on how the XRP price rejected at its most latest all-time high in July. Since then, the month-to-month price chart has been printing consecutive crimson candles, with month-to-month closes persistently below opens.
At the time of writing, XRP is about a 44% correction from this all-time high. This means a 69% correction is yet to play out in its entirety. Therefore, if historical past repeats, a full 69% ABC-style transfer from the all-time high would drag XRP back below $1 and as low as $0.8. This transfer is anticipated to play out into the first quarter of 2026.
XRP Price Chart. Source: @ChartNerdTA
Potential Drop Could Be A Set-Up For A Much Larger Rally
XRP is at the moment trading at $2.04. Therefore, a deeper pullback below $1 will translate to a 51% lower from the current price motion. The thought of a deeper pullback from $2 is hard to think about, particularly given the inflows into Spot XRP ETFs. In fact, a pullback of that magnitude might take a look at conviction across the market and trigger many bullish merchants to step apart.
However, the technical analysis frames it as a structural reset reasonably than the rest. In 2017, the post-crash consolidation laid the groundwork for one of XRP’s most explosive rallies on document, in the end delivering good points in extra of 110,000%.
If this sequence performs out as anticipated, then the real bullish alternative would develop later in 2026. From that reset zone, the chart tasks a long-term advance to the 1.618 Fibonacci extension, inserting a potential upside goal around $27. The visible projection in the chart above exhibits a clean multi-month enlargement zone that delivers a 2,300% gain after the corrective part.
Featured image from Unsplash, chart from TradingView
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