XRP 4H Strategy Backtest: Top Performing Parameters Beat Buy-and-Hold

This research analyzes XRP (XRPUSD) on the 4-hour timeframe using Coinbase data from July 2023 through January 2026. Multiple strategy parameter settings ranging from 0 to 20 were tested and evaluated using key performance metrics including ROI, CAGR, Profit Factor, Sharpe Ratio, win rate, and volatility. The objective is to identify whether systematic trading can outperform a simple XRP buy-and-hold approach. The results show a clear dispersion in performance across parameters. While several configurations fail to generate edge and underperform buy-and-hold, parameter 16 and parameter 8 stand out as top performers. Strategy 16 delivers the strongest overall results with over 340% ROI, a CAGR above 45%, a solid profit factor, and a win rate exceeding 56%. Strategy 8 also performs exceptionally well, producing nearly 300% ROI with strong risk-adjusted returns and consistent trade statistics across more than 900 executions. In comparison, the XRP buy-and-hold benchmark over the same period produces significantly lower returns, highlighting the value of parameter selection and systematic rules on intraday timeframes. The findings underline that performance is not linear across settings: small parameter changes can materially alter return distribution, drawdowns, and volatility. This XRP 4H backtest does not predict future performance, but it demonstrates how data-driven optimization can uncover statistically robust configurations that historically outperform passive exposure. When combined with disciplined risk management and market context, systematic 4-hour strategies can offer a meaningful edge over buy-and-hold approaches in volatile crypto markets.