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Macro technical analyst Chetan Gurjar recently presented a macro cycle projection for XRP, suggesting it could witness a price surge to two-digit figures.
Gurjar presented his analysis in a recent report on X. He highlighted the potential for XRP to surpass the $12 mark, based on Elliott Wave Theory (EWT), as the altcoin is set to enter its third macro wave.
Wave 1 and Wave 2 Breakdown
According to Gurjar, XRP’s price structure can be divided into a series of macro cycles, the first of which began in the 2014–2017 bull run.
During this period, XRP completed a five-wave impulsive move to the upside, which culminated in an impressive price rally. For context, XRP changed hands at $0.00403 when this first macro cycle began in June 2014. However, by January 2018, when it ended, XRP had spiked to $3.31.
This first pattern, which he called “Wave 1” in the chart, represents an upward extension in XRP’s value, which set the stage for the subsequent phases of consolidation.
Following the completion of Wave 1 in January 2018, XRP entered a prolonged corrective phase, forming what is known as an ABCDE structure. This pattern began in 2018 and continued through multi-month and multi-year sideways trading, with XRP oscillating between support and resistance levels.
Gurjar labels this extended consolidation as “Wave 2,” which took the form of a triangle pattern. Multiple market analysts have also identified this symmetrical triangle, typically a sign of market indecision and preparation for the next major price movement.
XRP Poised for Wave 3 Breakout
Gurjar suggests that XRP may now be positioned to enter “Wave 3,” which in EWT is usually the most explosive part of a bull cycle. This wave features strong upward momentum as market participants increasingly recognize the asset’s potential.
Notably, at the time of reporting, XRP appears to be on the verge of breaking out of its triangle pattern, which would mark the completion of Wave 2. Gurjar projects a potential price target of $12.75 for XRP, based on the Fibonacci 1.618 level.
Meanwhile, in the short term, XRP continues to linger at the $0.53 region, currently changing hands for $0.5338. XRP recently faced a massive correction at the start of October following the SEC’s appeal notice in the Ripple lawsuit.
However, the price has stabilized at press time, with a meager 1.45% drop over the last 24 hours. XRP would need a short-term decisive push to breach the upper boundary of the triangle and slip into Wave 3. However, analysts believe nothing significant will happen until Bitcoin (BTC) resumes its bullish trend.