3 Possible Scenarios for Ripple Price as XRP Dominance Hits Record High

A well-known cryptocurrency analyst outlined three potential scenarios for XRP price movements as the digital asset shows significant strength in the market. This analysis comes as XRP's dominance is approaching record levels, potentially signaling a major shift in the cryptocurrency landscape. EGRAG CRYPTO explained that the "Blue Channel" model is providing clear indications of XRP's next move. The analyst noted that equilibrium was established at the lower edge of this channel, resulting in a small rebound that had been predicted earlier.

Optimistic outlook In a bullish scenario, XRP needs to close above $2.83 today to demonstrate macro strength. Reaching this level can pave the way towards the $4.20 target. Analysts say these targets could move higher over time, bolstering the argument for a bullish trend. Conservative approach The second scenario offers a more measured perspective. EGRAG noted the possibility that XRP could retest the previous Daily Low (PDL), in line with the 0.888 Fibonacci level—a strong support zone. A sustained break below this level for three days or more may indicate persistent bearish control. However, if support is sustained, investors should keep an eye on several key levels: The previous daily high was $2.40, the previous weekly high was $2.97, and the previous monthly high was $3.07. According to the analyst, a higher closing price will give more structural confidence. Pessimistic scenario In case of a bearish, a break below both the 0.888 Fibonacci level and PDL can trigger a decline to the 0.786 Fibonacci level and potentially fill the fair value gap. Interestingly, EGRAG thinks that this could actually be a bearish trap and a false break from the Green Channel, which could coincide with Bitcoin's retest of the $70,000 level. The analyst believes such a development could present "another generation buying opportunity." However, a persistent break below these levels could indicate an unrecognized bear market that is affecting the entire crypto space. XRP's dominance shows remarkable power EGRAG CRYPTO also highlighted XRP's growing market dominance, which is approaching its 2021 high of 6% and surpassing the 0.5 Fibonacci level. The analyst considers this a "critical level" and an extremely optimistic sign when confirmed.

If XRP dominance successfully closes above the 0.5 Fibonacci level, a spike towards the 0.888 Fibonacci level is probable, potentially reaching the 15-20% market dominance level. This would be in line with historic highs from 2015. The analyst emphasized that this is more than mere speculation, noting that XRP's status as the leading protocol for transferring value over the internet with a 31% dominance rate is "just the beginning" of its potential growth trajectory.