XRP Back in a Zone It Has Entered Only 4 Times in 13 Years: What Happened The Last 3 Times

XRP has slipped back into an oversold zone it has visited only four times in its 13-year history, with each prior entry leading to a significant move.

Well-known market analyst Cryptollica was first to call the public’s attention to this development, confirming that the XRP RSI on the monthly timeframe has dropped to an extremely rare undervalued region.

Key Points

• XRP has collapsed more than 31% this year amid the market-wide downtrend.
• This decline has now pushed the monthly XRP RSI below 43, representing a rare oversold area.
• XRP has only visited this RSI bottom three times in the past: in February 2017, March 2020, and June 2022.
• Each time XRP revisited this area, what followed was a significant move.

XRP Battling Bearish Pressure

Cryptollica’s recent market exposition comes as XRP continues to battle bearish pressure alongside the rest of the crypto market. Notably, after recovering to around $1.55 in mid-May, XRP succumbed to the market-wide downtrend, dropping to $1.36 by May 28.

As May came to a close, the broader market saw a rebound campaign, and XRP leveraged this to recover above the $1.36 area. However, this campaign’s momentum has declined in recent times, with XRP crashing back to $1.26 at press time as it nurses a 5.17% decline in June.

With this decline, XRP’s RSI has now slipped into an oversold level that Cryptollica believes may serve as a precursor for a significant move in the near future. For context, this region refers to the area below the 43-mark on the monthly RSI timeframe.

XRP RSI Slips Back to Rare Oversold Zone

Data from the analyst’s chart confirms that this zone remains incredibly rare, as XRP has only visited it three times in the past, with the latest occurrence making it the fourth time throughout the asset’s 13-year history.

Specifically, the first time XRP entered this area was in January 2017, when its price dropped to a floor of $0.003. Another occurrence played out in March 2020, as the monthly RSI crashed to 43.75 amid a price collapse to $0.1140. This price marked the bottom of the 2020 bear market for XRP.

The third time XRP visited this region was during the 2022 bear market, as prices slumped to a bottom of $0.2870 in June of that year. During this period, the monthly XRP RSI dropped to 43.91. 

Now, the monthly RSI has crashed again to this zone after exactly four years. This comes as XRP’s price hit the $1.26 low, indicating that each time XRP reaches this level, the floor price is higher than the previous time. Currently, the monthly RSI sits at 43.72, lower than the figures recorded in June 2022 and March 2020.

What Happened Each Time?

The interesting bit is that each time the monthly RSI dropped to this oversold level, XRP’s recovery effort eventually led to a massive price upswing, although it may take some time to achieve this.

For instance, after the January 2017 incident, XRP’s price shot up more than 110,000% to a peak of $3.31 by January 2018. Following the decline in March 2020, the price rallied 1,628% to a high of $1.96 by April 2021. Meanwhile, the June 2022 incident preceded a 1,084% rise to $3.4 by January 2025.

Considering this pattern, Cryptollica suggested that each of these past occurrences played out right before the XRP market saw a bullish reset. “The previous three were not normal pullbacks. They appeared near major cycle reset zones,” the analyst said.

Despite the consistent pattern, investors should note that past performance does not guarantee future results. It remains to be seen if XRP will replicate the upsurge witnessed during the last three times. However, if it does repeat the pattern, its price could push past the $3.66 all-time high.