XRP Eyes Major Breakout: Will It Conquer ‘The Chasm’?

• XRP must break above $3.65 to confirm bullish pennant and unlock higher targets
• Fibonacci targets hint at XRP surging to $34.63 if macro trend aligns with momentum
• Market dominance under 6.5% may hinder XRP’s institutional appeal and sector influence

XRP’s market behavior is under the spotlight once again, as recent analysis from crypto strategist EGRAG CRYPTO suggests the digital asset is approaching a pivotal moment. With “Cycle 3” of XRP’s historical price behavior now unfolding, analysts are closely watching whether the token can replicate its previous breakout patterns. 

Testing “The Chasm” and Key Price Levels

Historically, XRP has demonstrated cyclical surges after periods of consolidation. According to EGRAG CRYPTO, each cycle peaked above the red trendline dubbed “The Chasm.” In this current cycle, expectations are high for a rally beyond $11. 

His longer-term Fibonacci projections point to a potential target of $34.63, with earlier milestones at $9.41 and $11.27. This aligns with previous patterns where major price explosions have followed confirmed breakouts.

Related: Multiple Charts, One Verdict: A Major XRP Rally Is Now Imminent

At press time, XRP is trading at $3.47, showing a slight 0.58% daily decline but still posting an 18.18% gain over the past week. 

Importantly, the 21 EMA and 33 SMA continue to offer structural support. This suggests the bullish trend may still have fuel, provided price action holds above critical support zones.

XRP dominance must pass 10% to assert leadership

Besides price movement, EGRAG CRYPTO also highlights XRP’s market dominance as a factor worth observing. Currently, XRP’s dominance hovers below 6.5%, raising concerns about its foothold in the crypto sector. 

Related: Can XRP Lead the Altcoin Rally in 2025? Analysts’ Insights

For the asset to assert leadership, dominance must climb past 10%. Anything lower suggests limited traction and may inhibit broader institutional interest.

Moreover, XRP’s market cap valued at over $205 billion has room for expansion. EGRAG identifies three Fibonacci targets,  $308 billion, $488 billion, and $946 billion. These targets represent potential growth zones tied to broader adoption and macro-market momentum.

XRP’s immediate breakout test is at the $3.65 level

A breakout from a bullish pennant formation adds another layer to XRP’s current technical setup. For further confirmation, XRP must decisively close above $3.65. If successful, price extensions could reach $4.15, $5.37, and possibly $6.26. Long-term projections even suggest $23.64 as a potential high.

However, if XRP fails to maintain above $3.65, a retracement toward $2.60–$2.90 may follow. Despite this risk, current volume and trend structure indicate bullish continuation remains the more probable path.