Veteran Bitcoin trader Tony Severino has shared a new update on XRP, warning that the current rally may be entering its final stage.
While the end of the bullish phase could be near, Severino described it as a “glorious finale”. In parallel, he urged traders to prepare their exit strategies now.
XRP Price Discovery in View, but Time Is Running Out
XRP has been attempting to enter full price discovery mode since breaking out of a multi-year symmetrical triangle that had capped gains since 2018. In July, XRP surged to $3.66, its highest level in nearly seven years, before retracing slightly. At press time, XRP is holding at $3.34.
Severino’s latest chart shows XRP’s Fisher Transform indicator approaching the same overbought levels seen during the 2017 and 2021 peaks. For context, both instances preceded dramatic declines. Amid this recurring pattern, Severino urged traders to have sell limit orders in place before the rally exhausts itself.
Notably, the current breakout bears strong similarities to the 2017 surge, when XRP skyrocketed from under $0.01 to over $3 in about nine weeks in the final phase. According to Severino, the present move could follow a similarly compressed time frame.
Last month, his analysis suggested that XRP’s “final wave” could carry it as high as $12.73 within a 40-day window. This pointed to a potential peak by late August or early September.
Meanwhile, other analysts have set even more ambitious targets, with some projecting $50 to $99 by year-end.
The Exit Plan Is Key
Despite his bullish tone, Severino continues to emphasize risk management. His personal profit zone sits between $8 and $13. Meanwhile, Severino is not the only analyst calling for an imminent crash for XRP after a peak around $20.
Analyst Jaydee has also warned that while XRP may see a surge similar to its late-2017 performance, only a few investors are likely to achieve life-changing profits. He believes most could get swept up in the frenzy and end up becoming exit liquidity for institutional and smart traders.
He cautions that retail investors holding on too long may once again suffer heavy losses, as “smart money” exits at the top. Fellow analyst EGRAG agrees, projecting similar crash scenarios following the peak.
Crash Scenarios for XRP
EGRAG has outlined two potential bear market scenarios based on historical trends. Scenario One sees XRP peaking at $27, then crashing 97% to $0.80, mirroring its 2017–2018 collapse.
Scenario Two projects a more modest run, topping out at $9, followed by an 85% drop to $1.30. EGRAG also noted that a dip below $0.30 isn’t off the table, citing past cycle behavior.
While some, like Michael Saylor and Bitwise’s Matt Hougan, argue that crypto winters are over due to institutional support, EGRAG maintains that market cycles remain inevitable: “What goes up must come down.”
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
