XRP Fear Zone Signals Potential Rally with Target at $2.65
Fear's grip on XRP tightens—and that's exactly when the smart money starts buying.
The Fear & Greed Index for the digital asset has plunged into extreme fear territory, a historical signal that often precedes explosive upward moves. Market psychology, not fundamentals, drives these swings. When retail capitulates, accumulation begins.
Mapping the Path to $2.65
Technical analysis paints a clear, if ambitious, picture. The current fear zone aligns with a critical support level that has held firm through previous sell-offs. A bounce from this base could trigger a cascade of short covering and renewed institutional interest.
The primary target sits at $2.65, a level derived from key Fibonacci extensions and previous resistance zones. Reaching it would require a sustained break above several moving averages and a significant shift in market sentiment—no small feat in a landscape dominated by traders who still think a 'limit order' is something you set on your dinner reservations.
History doesn't repeat, but it often rhymes. The last time fear levels were this pronounced, XRP staged a multi-week rally that caught the market off guard. The same conditions are brewing now. Whether this is the start of a new leg up or just another false dawn depends on whether buyers step in with conviction.
Watch the charts, ignore the noise, and remember: in crypto, the crowd is most wrong at the extremes.
Over the last 24 hours, XRP has dropped 4.06% to a value below $2.10. XRP is the worst performer among the top cryptocurrencies by market capitalisation. XRP is currently 42% below its peak value, which it attained in July 2025.
XRP Bounce Signals Potential Rally
Meanwhile, well-known crypto analyst CasiTrades noted another sign of XRP’s bullish strength after it tested and bounced off the 0.618 Fibonacci level, which is already an indication it could go up. Nevertheless, it could also go to the $1.64 macro 0.618 support if the next level fails to hold.
The first target is the $2.04 zone, which is the macro 0.5 Fibonacci level. This has proved to be an important support point during the correction. After a strong breakout, the XRP market is expected to hold on to this zone to MOVE further up.
If XRP can hold on to $2.04, it may push beyond $2.41 and towards $2.65, marking the beginning of a new bullish trend. This could indicate that the macro low is probably over, and the highs could vary between $7 and $10. If $2.04 is not supported, XRP may fall to $1.64 to fulfill the macro 0.618 before starting the next big upswing.
XRP ETF Inflows Slow but Optimism Remains
Although it started with great traction, the net inflows into spot XRP ETFs have slowed. Last Thursday, the inflows reached $12.8 million, which is the lowest the total has been since November 21, based on SoSoValue. Nevertheless, the ETFs are still on a positive start, having a total of $881 million worth of assets under management. They started operations in mid-November.
Nevertheless, while social sentiment has briefly ventured into the fear sector, the lessons of history indicate XRP is likely to initiate another temporary advance, and $2 is a level to pay attention to.
