Veteran Trader Peter Brandt Revisits XRP Analysis, Acknowledges Possibility of Bullish Continuation Pattern

Veteran trader Peter Brandt, known for his critical stance on XRP, recently revisited his analysis of the altcoin's price action following its latest decline.

Veteran trader Peter Brandt has shared his thoughts on XRP’s latest price action, suggesting that the altcoin may be preparing for a bullish move despite his critical stance on the token.

His analysis comes after the U.S. Securities and Exchange Commission (SEC) filed an appeal notice in its lawsuit against Ripple, leading to a substantial drop in XRP's value.

Brandt shared a monthly XRP/BTC chart, highlighting an 11-year complex head-and-sqoulders (H&S) pattern that could lead to further losses for XRP. He noted that if this pattern plays out, the token’s value could drop to zero when measured against Bitcoin.

"This is an X post that many will screenshot and remind me of often for years to come."

Does everyone know that Ripple is actually a formal name for "RIP PPL OFF" $XRPBTC

Chart has an 11-year complex H&S that ONLY IF completed projects price to ZERO Bitcoin

Good news for the day! pic.twitter.com/KGodcqUn64

— Peter Brandt (@PeterLBrandt) October 3, 2024

Brandt’s comments follow the SEC’s appeal, which saw the altcoin lose 9.77% in a single day, followed by another 2.95% drop the next day. Over the past few days, XRP has fallen by 19.69%, making its losses more significant than the broader market's downturn.

However, Brandt’s chart analysis shows XRP approaching a key support level on the XRP/BTC chart. This support level has historically acted as a range low where the altcoin tends to rebound.

The recent price drop pushed XRP to a two-month low of 0.00000843 BTC, but the token has since recovered slightly to 0.00000863 BTC. If XRP continues to hold this support level, the potential for a rebound remains.

Despite being a staunch Ripple critic, Brandt’s remarks suggested that a bearish outcome may not be guaranteed. In response to Brandt’s analysis, another experienced trader highlighted the significance of XRP’s current price level, which has repeatedly served as a springboard for upward moves.

The trader pointed out that XRP has consistently bounced back from this range, forming a stable pattern between its lows and highs.

"Agree, but I'm trying to get the XRP crowd to understand that if they want to continue making money in XRP, they should be rooting for an outcome where the SEC wins and Ripple loses."

The trader added, "If you want to continue making money in XRP, you should want the SEC to win and Ripple to lose."

Brandt, acknowledging this perspective, admitted that his initial remarks were intended to provoke XRP supporters, whom he has frequently criticized. However, he conceded that a bullish reversal in XRP price is possible. To support this viewpoint, Brandt presented an XRP/USD monthly chart that suggests a bullish continuation triangle could be forming.

The chart shared by Brandt highlights the formation of a symmetrical triangle. This pattern, which has been developing since January 2018, positions XRP for a potential breakout. Currently, XRP is trading around $0.5264 and is consolidating within the triangle, nearing its apex. Historically, such formations often lead to significant price movements once the pattern is completed.

If the asset breaks out of this consolidation phase, a bullish rally could follow. Brandt’s analysis suggests that a move above the current resistance level could signal the start of a larger upward trend for the token.

The chart also points to the 8-period simple moving average (SMA), currently at $0.5560, as a critical resistance point that XRP has struggled to surpass. While XRP closed above this level in September, the recent crash pushed it back below the 8 SMA.

Breaking above the 8 SMA could catalyze a more substantial bullish move. If XRP succeeds in overcoming this resistance, Brandt’s analysis indicates that the next target for the altcoin could be around the $1.00 mark. However, the token must first consolidate and break out of the symmetrical triangle pattern before any significant upside potential can be realized.

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