XRP has declined 25% from its August peak, but cryptocurrency analyst Dark Defender has continued to highlight technical and structural developments that may shape the asset’s long-term outlook.
XRP Exchange Reserves and RLUSD Activity
Through several posts on X, Dark Defender noted that exchange reserves for XRP have dropped to a seven-year low, currently around 1.7 billion XRP. He described this decline as a significant data point, arguing that reduced reserves on exchanges may indicate less selling pressure in the market.
Dark Defender also emphasized the activity of RLUSD on the XRP Ledger, reporting that 88% of all RLUSD liquidity is now present on the network. RLUSD is a regulated US dollar stablecoin designed for use on blockchain platforms, with a growing footprint in digital asset trading.
Additionally, he brought attention to the XRP Ledger’s roadmap for introducing quantum-safe cryptography, targeting implementation by 2028. Quantum-safe cryptography is expected to protect distributed ledgers from potential threats posed by quantum computers, which could theoretically break conventional cryptographic algorithms.
Mini dictionary: Quantum-safe cryptography, also known as post-quantum cryptography, involves cryptographic systems designed to defend against attacks from quantum computers, which could undermine widely used encryption standards.
In his commentary, Dark Defender remarked,
“These facts tell you what the next decade is being built for.”
Technical Structure and Elliott Wave Analysis
Focusing on market structure, Dark Defender classified the current action in XRP as Wave 2 in his Elliott Wave analysis. The Elliott Wave theory is a technical charting approach that seeks to identify long-term price movements according to repetitive cycles of investor psychology. He suggested that the corrective move in progress is a natural part of this broader structure.
The analyst further expressed optimism for a significant price increase in the subsequent phase, which he labeled as Wave 3. He wrote,
“Wave 3 does not ask for permission,”
highlighting his view that the coming move could be rapid and substantial.
Dark Defender’s recent technical chart projects a target of $333.1167 for XRP, coinciding with the 161.80% Fibonacci extension, a level frequently cited in the Elliott Wave theory for strong upward price targets.
| Wave | Fibonacci Extension Level | Projected Price Target |
|---|---|---|
| Wave 3 | 161.80% | $333.1167 |
| Intermediate | 361.80% | $18.2275 |
| Intermediate | 423.60% | $36.7676 |
| Intermediate | 141.40% | $74.3956 |
Long-Term XRP Outlook
According to Dark Defender, the decline in XRP price is part of a larger technical structure within a long-term rising channel. As mapped in his chart, the projected sequence includes an advance to the $333 target in Wave 3, a corrective Wave 4, and a final surge in Wave 5.
Despite the recent 25% drop, the analyst connected ongoing ecosystem developments and technical indications to a positive outlook for XRP. His recent posts continue to cite both on-chain data and his Elliott Wave-based forecast as supporting evidence for potential growth.
