Analyst Predicts Historic XRP Rally as Bitcoin Dominance Breaks Down

Jan 9, 2026, 7:58 a.m. 3 sources neutral

Key takeaways:

  • XRP's potential rally hinges on a confirmed breakdown of Bitcoin dominance below 44%, not just historical patterns.
  • Reduced whale selling pressure at $2.14 suggests accumulation, but retail sentiment remains a key watchpoint.
  • A breakout above $3.20 resistance is needed to validate the analyst's double-digit price discovery thesis.

Crypto analyst Bird has forecast that XRP may be on the verge of its strongest price rally in history, driven by a breakdown in Bitcoin's market dominance. The prediction is based on historical patterns where similar declines in BTC dominance preceded XRP's major parabolic moves in 2018, 2021, and 2024.

Bird detailed the historical correlation, noting that Bitcoin dominance (BTC.D) "dropped hard" during each of XRP's previous explosive rallies. After XRP's first all-time high (ATH) in 2018, BTC dominance trended back up, backtested the trend, and then rolled over, triggering XRP's parabolic move in 2021. A similar, though less committed, breakdown in BTC dominance in 2024 was still enough to send XRP to new highs.

The analyst states the current setup is even larger. Between 2023 and 2025, Bitcoin dominance trended up, broke down through its multi-year trendline, backtested it from underneath, and is now "chopping and rolling over" in the same historical area that preceded XRP's past surges. Bird argues that if a brief, uncommitted breakdown in 2024 sparked a rally, a confirmed breakdown would be "exponentially stronger."

The key prediction is that the next move could send XRP "into double digits and beyond." Bird expects Bitcoin dominance to lose its trend for good and break down hard toward the 44% to 40% region. When this occurs, XRP would not just run but enter "true price discovery."

At the time of reporting, XRP was trading around $2.14, down nearly 5% in 24 hours and below its December highs near $3.20. On-chain data from CryptoQuant shows whale inflows to exchanges like Binance have decreased since mid-December, with whales accounting for 60.3% of XRP flows versus 39.7% from retail. This reduction in large-holder selling pressure suggests the asset may be entering a re-accumulation phase, with price consolidating between $2.06 and $2.19.

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