XRP May Have Reached a Generational Bottom, Analyst Suggests, as the Crypto Market Correction Subsides

The repercussions of a macroeconomic headwind have gripped the crypto market and did not spare even the most bullish assets.

After XRP’s sharp fall, steered by a broader market correction, an analytical construct suggests that the asset may have reached a generational bottom.

The repercussions of a macroeconomic headwind have gripped the crypto market and did not spare even the most bullish assets. The positive momentum from XRP’s highest-ever monthly close was no match for the global market onslaught, ensuring that the third-largest cryptocurrency by market cap capsized immensely.

The XRP Ledger’s native token retraced a staggering 42% from its monthly high of $3.0710, sharply falling to $1.7738 today. However, it has rebounded over 35% from the dip to its current market price at press time.

Moreover, the sell-off saw whales offload over 130 million XRP amid fears of further downsides. Nonetheless, a recent analysis suggests XRP may not see its recent lows again for a long while.

After the recent dip, analyst Dom steered the cautious XRP army today with a bold statement. The market speculator argued that the asset’s over 43% correction from its yearly high of $3.3999 may be its next generational bottom.

In the Monday commentary, the analyst stated that XRP has seen similar capitulations in the past, which have marked generational lows for the high-caliber asset.

He pointed to scenarios like XRP’s over 70% crash after the December 2020 Securities and Exchange Commission (SEC) lawsuit against Ripple and the 55% downtrend in February-March 2020 due to the COVID-19 pandemic.

Meanwhile, notable community member XRPBags shared a similar scenario where XRP saw a comparative decline. In a post, he stated that the 35% drop in 2024 and the recent 36% decline have not matched 2017’s double 60% and 73% corrections.

Notably, both analyses pointed out that XRP rebounded from the dips, posting mouth-watering gains afterward. These disclosures further fuel optimism that the high-ranking crypto asset could repeat history imminently.

Supporting this bullish outlook, XRP community influencer Amonyx has asserted a legendary bounce is on the horizon. He based his assertion on the market’s reaction from this phase eight years ago.

An accompanying chart showing the total 3 market cap (crypto market cap excluding Bitcoin and Ethereum) indicates that the cap bounced from an accumulation zone in late 2017 to a valuation peak of $360 billion.

Currently, the total 3 cap has dropped to around $866 billion, down over 15% from February’s opening of $1.03 trillion. Nonetheless, Amonyx speculates that XRP and other altcoins will see massive rallies, as seen in 2017.

In the meantime, XRP trades at $2.3995, down 6% from the past day.