Veteran trader Peter Brandt has identified a potential target of $2.16 for XRP, based on his analysis of emerging chart patterns. Brandt, renowned in the financial markets for his decades-long experience as a trader and technical analyst, pointed to a combination of formations on XRP’s price chart that could indicate further upside for the token.
Technical formation suggests bullish outlook
Brandt observed a developing cup-and-handle pattern on the XRP chart. This well-known formation in technical analysis can potentially signal a continuation of an upward trend if confirmed. Additionally, Brandt noted that, on the larger timeframe, the chart may also be forming the right shoulder of an inverse head-and-shoulders pattern, another indicator often associated with bullish reversals.
He calculated the $2.16 price target by measuring the height of the inverse head-and-shoulders formation on XRP’s daily closing price chart and projecting that distance from the breakout point. At current levels, with XRP trading close to $1.50, the price would need to increase by roughly 44% to meet this target.
| Token | Current price | Brandt’s target | Potential upside |
|---|---|---|---|
| XRP | $1.50 | $2.16 | 44% |
Despite this optimistic outlook, Brandt cautioned that technical formations do not always reach their projected targets and acknowledged that patterns can sometimes shift or fail. He emphasized his belief in the concept of “measured moves,” but also highlighted the possibility that the right shoulder, currently “poorly formed” and “abbreviated,” might still be under development, or could remain incomplete.
Overhead supply could challenge further gains
Brandt raised concerns regarding a significant obstacle for XRP’s price action: overhead supply. Examining the weekly chart, he pointed out that extensive resistance remains at higher price levels, stemming from previous rallies. Many holders who purchased XRP at elevated levels may choose to sell should the price recover further, potentially capping upward momentum.
“There is a TON of overhead supply to go through,” Brandt stated, describing this factor as a notable negative for the token.
Brandt also compared XRP with other major cryptocurrencies, indicating that Monero (XMR) appears to have already worked through much of its historical overhead supply. He assessed that Solana displays a healthier and more convincing cup-and-handle structure on its charts than XRP at present.
At the time of writing, XRP is trading around $1.50 and holds a market capitalization of approximately $94.65 billion, according to CoinGecko. The token has gained about 5.5% over the past month.
Mini dictionary: Peter Brandt is a veteran commodities and cryptocurrency trader, widely regarded for his technical analysis expertise and authoring finance books.
