SKN | XRP Has Rebounded Nearly 40% After a 73% Crash — Can History Deliver Another 1,000% Rally?

Key Points:

• XRP has suffered four major drawdowns since 2013, with previous crashes followed by rallies of roughly 1,000%.
• The latest downturn erased nearly 73% of XRP’s value, taking the token from $3.65 in July 2025 to $0.99 in August 2026.
• XRP has since rebounded nearly 40% in four days, but resistance around $1.65–$1.70 and $2 could determine whether the recovery develops into a broader trend.
• ETF flows, U.S. crypto legislation and Ripple’s international expansion could provide additional catalysts, while macro liquidity and broader market sentiment remain key risks.

XRP is testing a familiar pattern after recovering sharply from its latest major market drawdown. The token fell nearly 73% from its $3.65 cycle high in July 2025 to approximately $0.99 in August 2026, before rebounding nearly 40% over four days to around $1.47. The move has revived comparisons with XRP’s previous major crashes, although historical rallies do not guarantee that the current recovery will follow the same trajectory.

Four Major Crashes, Three Powerful Recoveries

XRP has experienced several severe market cycles since launching in 2013. The 2014 downturn pushed the token down nearly 83% to $0.0047, followed by a prolonged period of consolidation before XRP began accelerating in 2017. The token eventually reached $2.85 by December 2017, representing a gain of more than 600 times from that cycle low.

The 2018–2020 downturn produced another major decline, with XRP falling approximately 84% in 2018 and reaching $0.19 by the end of 2019. The subsequent 2021 recovery took XRP to $1.96, representing a rally of almost 1,000% from its 2019 low. The 2022 market crash then erased roughly 85% of XRP’s value from its 2021 high of $1.96 to around $0.29–$0.30.

The Fourth Crash Has Already Reversed Sharply

The latest cycle follows a similar numerical pattern but occurred against a substantially different market backdrop. XRP reached $3.65 in July 2025 before falling to approximately $0.99 in August 2026, a decline of nearly 73%.

The recovery has nevertheless been unusually rapid. XRP gained nearly 40% in four days, bringing the token back toward $1.47. Recent market data also showed substantially stronger trading activity as investors responded to improving sentiment across digital assets.

However, the rebound remains technically significant rather than definitive. XRP must overcome the $1.65–$1.70 resistance zone before the market can assess whether the latest move represents a sustainable trend reversal. A break above $2 would provide another important technical confirmation and potentially bring the $3 area back into focus.

ETF Demand and Regulation Could Shape the Next Phase

Unlike earlier XRP cycles, the current market environment includes a developing institutional infrastructure. Spot XRP ETFs have created a new channel for regulated market exposure, while the potential progress of the CLARITY Act could provide greater regulatory certainty for digital assets in the United States.

Ripple’s international expansion also adds another structural element. Partnerships involving cross-border payments, custody and financial infrastructure could strengthen the fundamental narrative surrounding XRP, although the impact on token demand remains dependent on actual adoption and market conditions.

Looking ahead, XRP’s ability to hold the recent recovery will depend on resistance levels, ETF flows, regulatory developments and broader crypto liquidity. The historical record shows that XRP has previously produced extraordinary rallies after deep drawdowns, but the magnitude of those moves was accompanied by extreme volatility. For institutional and professional investors, the more important question is therefore whether the current rebound can establish higher support levels and sustain demand rather than simply repeat a historical percentage gain.