XRP has faced significant volatility in recent weeks, with its price fluctuating between $1.60 and $2.30. After a sharp decline below $1.64 on Monday, the asset briefly recovered, climbing back to around $1.90. Despite a slight uptick of 6.8% in the past 24 hours, XRP has experienced a longer-term negative trend, posting a 13.9% loss in the past seven days and a 22.7% decline over the past two weeks.

However, amid these fluctuations, one prominent analyst has projected a potential rebound for XRP, even in a worst-case scenario where the broader market faces a downturn. According to Dr. Cat, an analyst on X (formerly Twitter), XRP’s minimum price target in such a situation could be $4.50, citing key technical indicators and market patterns.

XRP’s Worst-Case Scenario and $4.50 Target

Dr. Cat’s $4.50 price target for XRP stems from a cautious outlook on the crypto market, particularly regarding Bitcoin’s performance. The analyst believes that even if Bitcoin’s bull run ends with a “dead cat bounce” (a temporary recovery before a longer decline) around $85,000, XRP still has the potential to reach $4.50. The key support for this projection comes from the 1.618 Fibonacci extension level, which has previously acted as a reliable indicator for price targets during similar market conditions.

Dr. Cat emphasized that this $4.50 target remains valid unless XRP drops below the $1.69 mark on a 2-day chart. In such a scenario, the analyst would reconsider the bullish outlook, but for now, the focus is on identifying XRP’s bottom and watching critical support levels that could signal a potential rebound.

Dr. Cat remains cautiously optimistic, stating that the probability of the latest dip being the bottom is at least 50%. Given this, the analyst anticipates a significant recovery from XRP’s current levels, with a possible rally back toward higher price points.

Key Levels to Watch for XRP’s Recovery

EGRAG, another well-known market analyst, has also provided a roadmap for XRP’s recovery. EGRAG highlights four key price levels that traders should monitor to gauge the potential for a bullish breakout:

1. $2.24: A close above this level, which aligns with the 21-day exponential moving average (EMA), could signal the start of bullish momentum.

2. $2.30: The 0.382 Fibonacci retracement level lies at this point. If XRP manages to break past this resistance, it could be poised for further upward movement.

3. $2.47: The 0.5 Fibonacci retracement level represents another critical resistance. A successful break above this level would confirm the shift to a more bullish market outlook.

4. $2.70: This level, which aligns with the 0.618 Fibonacci retracement, is a strong resistance point. If XRP can surpass this level, the asset could be well-positioned for a significant rally.

Should XRP surpass these key levels, particularly the $2.70 mark, it could open the door for a larger price movement, with some analysts even speculating that a surge toward the $5 mark could be within reach.

Conclusion: XRP’s Path Forward

Despite the recent volatility and decline in XRP’s price, analysts like Dr. Cat and EGRAG are still optimistic about the asset’s potential for recovery. Dr. Cat’s $4.50 minimum target, based on key Fibonacci levels and Bitcoin’s market movements, suggests that XRP could see substantial growth even if the broader crypto market faces a downturn.

Meanwhile, EGRAG’s roadmap outlines several key resistance levels that traders should watch for signs of a breakout. With crucial support levels intact and a cautious but hopeful outlook for the asset, XRP’s price may still have the potential for a significant rally if it can overcome these critical obstacles.

For now, investors and traders will continue to watch the market closely, monitoring both macroeconomic factors and technical indicators to gauge XRP’s next move.