A cryptoanalyst has announced that the price of XRP has just entered a neutral state and may be preparing for a big gathering. He explains how this phase has historically appeared before strong rallies and outlines what the current market structure may signal for XRP moving forward.
XRP price enters a neutral state before a bullish rally
Crypto expert and data analyst CW recently divided new update on XRP price actionnoting that the cryptocurrency has broken out of the bottom and moved to a neutral state. He said this change marks the early stage of a larger rally, with a decisive move above the previous all-time high acting as a key signal for prices to accelerate.
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The chart he shared shows XRP following a repeated four-phase pattern across multiple market cycles, first from 2014 to 2018 and again from 2017 to today. In the 2014 cycle, phase 1 began with a sharp breakout to TP1, setting a new ATH. From that peak, XRP entered Phase 2, which formed a Symmetrical triangle. During this phase, XRP moved sideways within a tightening range for several months.
Phase 3 follows, which indicates a a long period of consolidation for XRP. Eventually, the price of XRP broke through the upper border of the symmetrical triangle and entered Phase 4. In this final phase, XRP rose to TP2, reaching the second ATH at the Fibonacci extension level of 6,618.
According to the chart, XRP has already completed phases 1-3 in the current cycle and has entered phase 4. After reaching its first peak around $3.5 (TP1) earlier in 2025, the cryptocurrency recently broke the upper limit of a similar symmetrical triangle pattern, entering a “neutral state”.
Now that XRP has reached this state, CW noted that it has entered Phase 4, the final phase of a four-phase historical pattern. The analyst predicted the second a new all-time high for XRP near $21.5, aligning with the Fibonacci extension level of 6.618 from the 2014 cycle.
How the momentum indicators reacted during each phase
At the bottom of CW’s chart, the price is a Stochastic oscillator and moving average convergence histogram (MACD). Stochastics show overbought and oversold conditions for each cycle.
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In phase 2 of each cycle, stochastics often reach oversold levels, which is consistent with the prolonged consolidation and decline in price observed during this period. During phase 3, it remains around the midrange, reflecting a neutral state. Finally, in phase 4 of the 2014 cycle, it rises sharply towards overbought levelswhich coincides with strong price breakouts.
Meanwhile, MACD histogram reflects the momentum shifts in each phase. During phase 1, the histogram shows strong positive bars during the initial breakout. Phase 2 saw negative bars as the price declined, signaling bearish momentum. After that, phase 3 showed small, fluctuating bars, indicating low momentum. Finally, in Phase 4, the histogram quickly expands to a breakout, pushing its price to new ATHs in 2014.
Featured image from Freepik, chart from Tradingview.com
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