XRP Multi-Year Cup and Handle Pattern Eyes Gaussian Retest Before Breakout

XRP currently trades within a multi-year cup and handle pattern, which now eyes a retest of the Gaussian filter line before an eventual breakout.

The crypto market has not fared well since Q4 2025, and XRP remains one of the biggest victims of this downtrend. Notably, XRP has crashed more than 71% from its July 2025 all-time high of $3.66, now retesting the $1 mark, as it trades for $1.04.

Interestingly, chart data shows that this downtrend may actually be part of a larger cup and handle pattern that has guided XRP’s price action since 2018. The pattern now seems to be pushing XRP toward a retest of the Gaussian filter line before an eventual breakout.

XRP Cup and Handle Pattern

For the uninitiated, a cup and handle pattern forms when an asset’s price first drops and then rises to create a rounded “cup,” followed by a smaller pullback that forms the “handle.” After the formation of the handle, buyers push prices higher, leading to an uptrend.

With XRP, the cup played out when the token collapsed from the $3.31 peak in January 2018, hit a floor of $0.1140, and then recovered through a series of swings and declines across multiple cycles to the $3.66 all-time high in July 2025.

From this peak, the prices started pulling back, coinciding with the broader market downturn that started in October 2025. Since then, XRP has continued to record steep declines, effectively forming the handle. 

Data from the chart confirms that XRP may now be approaching the lower trendline of the handle, and this area could act as a strong support level capable of introducing buying pressure for an uptrend. 

Imminent Gaussian Filter Line Retest

Importantly, this handle trendline seems to align with the Gaussian filter line, which has acted as a reliable support level that marked XRP’s bottom across several bear markets. Specifically, each time XRP retested this Gaussian filter line, it coincided with the bottom or was close to the bottom.

This pattern first played out in early 2017, when XRP retested the line as it dropped to $0.00525 in March. From here, the asset recorded a massive upsurge, pushing toward $3.31 by January 2018.

XRP again retested the Gaussian filter line in November 2019, when it crashed to $0.20041. While this did not mark the exact bottom, it was close to the cycle floor, as XRP eventually reached a bottom of $0.1140 by March 2020 before rebounding.

Meanwhile, in June 2022, shortly after the Terra ecosystem implosion, XRP fell to $0.28, effectively retesting the Gaussian line. This again marked the bottom. In addition, the XRP drop to $0.49 in November 2024 coincided with a retest of the line and preceded the Trump-led upsurge.

XRP Eyeing Gaussian Retest Before Rebound

Now, the lower trendline of the cup’s handle aligns with the Gaussian filter line at $0.8550, confirming the importance of this price area. Once XRP’s price retests this area and support holds, it could signal the return of buying pressure.

From here, XRP would have to first breach the handle’s upper trendline around the $1.35 to $1.40 price range and then break above the neckline by reclaiming the $3.66 high to confirm a full-blown price reversal. The first major target for this reversal could align with the $8 mark identified by Standard Chartered.