XRP has captured the crypto market’s attention following a remarkable rally that saw the asset surge from approximately $2.05 on May 7 to a peak above $2.60 on May 12. Currently stabilizing near $2.50, XRP’s technical indicators and derivatives metrics suggest further upside potential, potentially echoing a historical price surge.
Analyst JD Points to Repeat of Historical Pattern
Crypto analyst JD has drawn parallels between XRP’s current setup and a price structure from late 2024. Back then, XRP skyrocketed from $0.50 to $3.30 in just two months, triggered by key technical signals. According to JD, the MACD histogram flipping green and a Stochastic RSI crossover above 80 preceded the explosive move. Notably, these conditions have reappeared in the current XRP chart, with the MACD histogram turning green again in early May 2025 and the Stochastic RSI sustaining levels above 80.
If XRP were to replicate the previous rally’s magnitude, the asset could target a fivefold increase from its current level of $2.49, potentially reaching as high as $12.45. However, JD advises traders to take calculated profits before the end of the cycle to avoid being caught off guard when “smart money” exits the market.
#XRP (UPDATE!) – Last time XRP 5x w/in 2-months when:
— JD 🇵🇭 (@jaydee_757) May 13, 2025
1. MACD changed to Green
2. SRSI cross above 80 (green line). *GASP*! 😱😵We just crossed!
"IF" SRSI stays above 80 next few closes, I expect BREAKOUT to ALL TIME HIGH!😱 (Patreon/Discord updated weekly!)
RT for updates!… pic.twitter.com/Cfi0M7gbur
Derivatives Metrics Signal Rising Bullish Sentiment
XRP’s bullish outlook is further underscored by derivatives data. According to Coinglass, XRP’s open interest (OI)-weighted funding rate has maintained a steady positive trajectory since the start of May. This shift follows a period of neutrality in April, where funding rates occasionally dipped into negative territory.
The consistently positive funding rates, remaining below 0.015%, indicate a controlled increase in long positions, minimizing the risk of forced liquidations. This suggests that while traders are leaning bullish, they are doing so without excessive leverage, reinforcing the potential for a sustained rally.
Jim Cramer as a Contrarian Indicator?
Adding a humorous yet cautionary note, JD recommends using mainstream sentiment as a contrarian indicator. Citing figures like CNBC’s Jim Cramer, JD quipped that when Cramer is bullish, it might be time to consider taking profits. This tongue-in-cheek strategy serves as a reminder that market sentiment can be a powerful but often misleading signal in crypto trading.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: How High Could XRP Price Go If Its Market Cap Hits $750B or $3T? Analysis
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
