Chart analyst ChartNerd flagged an 8.5-year cup-and-handle pattern on XRP this week, arguing that the token is nearing the 0.618 Fibonacci retracement level that could set up a long-term move toward $8, $13, and $27.

The outlook arrives while XRP itself sits near $1.06, deep in a correction that has wiped out most of its gains from the past year.

Cup and Handle Points to $8, $13, and $27

In an August 4 post on X, ChartNerd said XRP’s cup-and-handle formation is “one of the largest macro setups” on the market and that the token is approaching the 0.618 Fibonacci retracement level, which the analyst believes could support a move toward the Fibonacci extension targets of $8, $13, and $27.

According to him, the targets are “not an if, but a when,” and he has also warned that short-term price action remains uncertain. The analyst said XRP’s recent weakness does not necessarily point to problems with the asset itself, describing it as part of a wider crypto market correction.

That conviction comes with a caveat. In a separate post, ChartNerd laid out a scenario where XRP spends the rest of the year consolidating around $1, comparing it to the bottoming process from June 2022, with a Gaussian channel indicator only catching up to price gradually instead of through a steep drop first.

He framed the scenario as an alternative to an earlier $0.90 to $0.70 target range, not a reversal of the long-term thesis, adding that the original roadmap toward the $1 area was mapped out back when XRP traded near $1.80 to $2.

But not everyone is buying ChartNerd’s numbers. Trader CryptoBull dismissed the lower short-term targets in a post this week, betting XRP skips past $0.87 and $0.73 entirely.

“Those waiting for $0.87 or $0.73, I will see you at $23,” he wrote.

XRP’s Price Slide and What Other Analysts See

Other analysts have also focused on XRP’s current technical position, including EGRAG CRYPTO, who said the Ripple token had lost its 50-day moving average and was approaching the 100-day exponential moving average, a level the analyst described as historically important for long-term support.

According to the market watcher, a move toward the $1 to $0.95 range could be a normal retest if XRP holds that area. He placed a possible downside target near $0.80 if the token falls toward the lower boundary of its long-term channel, while maintaining targets of $15, $27, and above $50.

Another analyst, Ali Martinez, also pointed to $1.06 as the level that could decide XRP’s next move. In an August 4 report, Martinez said holding that price could open a path toward $1.35 and $1.64, while losing it could expose XRP to a drop toward $0.62.

The asset was trading around $1.06 at the time of writing, with CoinGecko data showing it had gone down by about 2% over seven days and more than 6% across 30 days. Over the past year, XRP has fallen about 65%, keeping it nearly 71% below its all-time high of $3.65.

Source: CryptoPotato