XRP Price Prediction: XRP Targets $2.78 Fibonacci Extension as ETF Inflows Fuel Fresh Momentum

The latest XRP price movement follows a sharp rally from late-2024 lows, drawing attention from both technical analysts and institutional observers. While upside momentum has moderated in recent sessions, market focus remains on whether XRP can sustain support near $2 and generate sufficient follow-through to challenge higher resistance zones.

XRP Chart Highlights $2.78 Fibonacci Extension

Technical analysis shared by market commentator CW (@CW8900) points to $2.78 as the next major upside level, derived from the 1.618 Fibonacci extension. The projection is drawn from December 2024 swing lows near $0.62 to January highs around $2.30 on the XRP price chart, using a four-hour timeframe.

XRP eyes $2.78 as the next target, corresponding to the 1.618 Fibonacci extension level. Source: @CW8900 via X

“The next target for $XRP is $2.78, which is the Fibonacci 1.618 level,” CW noted, referencing the XRP/USD structure.

Fibonacci extensions are commonly used to map potential resistance during strong trend expansions, particularly when price moves beyond prior highs. In XRP’s case, the extension follows a rally of roughly 240%, which historically places greater emphasis on how price reacts at predefined technical levels rather than how quickly it reaches them.

Past XRP cycles show that similar extensions after steep advances have often resulted in sharp reactions either producing brief continuation moves or transitioning into multi-week consolidation ranges instead of immediate reversals. This historical behavior explains why analysts are closely monitoring price behavior near the $2.78 zone rather than treating it as a guaranteed upside objective.

XRP Price Today Faces Cooling Momentum After Rally

Following the impulsive move higher, short-term indicators suggest XRP is cooling rather than reversing. TradingView analyst TheSignalyst, who regularly publishes structural market analysis, described the current phase as a controlled pullback into a familiar demand region.

XRP cools near $2 demand zone, setting up potential long opportunities toward the previous orange supply zone if buyers step in. Source: TheSignalyst on TradingView

“After the strong impulsive move, XRP is now cooling off and pulling back into a very familiar area,” the analyst said. “Price is approaching the round number $2, which is lining up perfectly with the red demand zone.”

From a structural perspective, the $2 level now serves as a key reference point for the XRP current price. Historically, round-number supports in XRP have attracted both dip-buying interest and defensive positioning, often acting as decision zones rather than immediate breakdown levels.

XRP ETF Inflows Add Institutional Context

Momentum in the XRP market cap has also been influenced by developments in the spot ETF landscape. Crypto analyst DustyBC Crypto (@TheDustyBC) reported that U.S.-listed XRP spot ETFs recorded a net inflow of $8.72 million on January 8, citing data aggregated by Coinglass.

$XRP spot ETFs saw a net inflow of $8.72M on January 8, signaling renewed institutional interest. Source: @TheDustyBC via X

“BREAKING: $XRP spot ETFs recorded a net inflow of $8.72M on January 8,” the post stated.

According to the accompanying figures, the inflow represented approximately 4.03 million XRP, based on prevailing prices near $2.16. The report contributed to renewed optimism among market participants, many of whom interpreted the data as a sign of continued institutional engagement following recent regulatory clarity.

Final Thoughts

XRP’s current setup reflects a balance between strong historical momentum and near-term consolidation risk. The $2.78 Fibonacci extension provides a clearly defined technical reference, while ETF-related data adds an institutional layer to the evolving XRP price narrative.

XRP was trading at around 2.12, up 0.87% in the last 24 hours at press time. Source: XRP price via Brave New Coin

As XRP price stabilizes near key support, market participants are likely to focus on conditional outcomes: sustained strength above $2 would keep the extension scenario intact, while a decisive loss of that level could delay further upside and favor additional range development before the next directional move.