XRP Faces Crash To $0.7 Before $8 Price Despite 50% Discount, But There Is A Catch ⋆ ZyCrypto

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XRP traded largely sideways on Thursday as the broader cryptocurrency market struggled to regain strong upward momentum following a recent wave of liquidity injections.

Notably, over the past week, the cryptocurrency declined by nearly 7%, mirroring the weakness seen across several major cryptocurrencies.

Meanwhile, analyst ChartNerd argued that XRP is already trading at what he describes as a steep discount relative to previous price levels. 

However, he cautioned that the perceived bargain does not necessarily mean the asset has reached its bottom.

According to him, XRP is currently trading at roughly a 50% to 60% discount, yet the market has not reclaimed several important resistance levels or key macro exponential moving averages (EMAs) that would typically signal a confirmed bullish shift.

Without those technical confirmations, the analyst believes the possibility of further downside remains firmly on the table.

Additionally, analyst ChartNerd suggested that XRP could still slide toward lower levels if it continues to struggle below major resistance zones.

The analyst also emphasized that the bearish outlook would be invalidated if XRP manages to break above a key resistance level near $2.40, which capped price rallies earlier in January 2026.

A decisive move above that threshold could shift the broader market narrative and potentially mark the start of a new upward trend.

Elsewhere, analyst Tara outlined a possible corrective scenario that could unfold in the near term. 

Drawing on wave analysis, she suggested that XRP may currently be undergoing a Wave 2/5 retracement, a phase that often precedes a stronger directional move in either direction.

According to her analysis, the cryptocurrency could climb toward the $1.51 region, which aligns with the widely followed 0.618 Fibonacci retracement level.

However, she warned that such a move could potentially trap overly optimistic traders if the price fails to sustain momentum beyond that point.

If the retracement scenario plays out, Tara suggested the next wave could push prices significantly lower, with potential support near $1.12, a level that could form a double-bottom pattern.

In a more bearish outcome, the correction could extend toward approximately $0.87, which she described as an important macro support level.

However, despite these cautious projections, some analysts believe the current price behavior is not as chaotic as it might appear. Analyst Dark Defender argued that XRP’s movements remain aligned with a broader technical structure that many traders may not yet recognize.

According to him, the asset continues to follow a previously outlined market structure rather than move randomly, suggesting that the current consolidation phase could be part of a larger formation still developing.

Meanwhile, analyst Celal Kucuker offered a more ambitious outlook for the months ahead. 

In a projection covering September through December, he mapped out a sequence of price levels, including $2.40, $1.10, $1.80, and $0.90, before ultimately pointing to a bullish target as high as $8.60.

At press time, XRP was trading at $1.42, reflecting a 0.48% drop in the past 24 hours.