Veteran trader Peter Brandt has shifted to a cautious stance on XRP, warning that the token could fall sharply if a bearish chart pattern remains intact. In a weekly chart shared with followers, Brandt highlighted a classic double-top formation—often viewed as a reversal signal after a sustained rally. The pattern features two peaks formed this year, with a critical neckline around $2.
According to Brandt, the recent break below that $2 level confirms the structure and raises the probability of a deeper decline. In technical analysis, a confirmed double top typically projects a downside move equal to the height of the pattern, which in XRP’s case implies a potential slide toward the $1 area. Brandt emphasized that the chart, not sentiment, drives his view, noting that traders must respond to price action rather than narratives.
Market Pushback and Technical Debate
Brandt’s bearish call sparked immediate debate within the crypto community. Several traders pointed to XRP’s weekly Relative Strength Index near 33, a level often associated with oversold conditions. They argue that momentum indicators suggest selling pressure may be stretched, increasing the odds of a technical rebound if buyers step in.
Brandt acknowledged that possibility, saying a recovery in RSI could change the outlook. Still, he maintained that until price invalidates the pattern, the risk skews lower. The exchange highlights a familiar tension in crypto markets, where technical signals frequently clash with strong retail conviction.
Key technical factors shaping the debate include:
- A confirmed break below the $2 neckline
- Weekly RSI near oversold territory around 33
- Failure so far to reclaim prior support levels
These elements leave XRP at an inflection point, with traders closely watching whether bulls can regain control.
Price Pressure Builds as Whales Sell
Recent price action has tilted the balance toward caution. XRP fell roughly 4% over the past 24 hours and is down about 50% from its July highs. The token is trading near $1.85, after posting an intraday high close to $1.98. Trading volume rose 25% in the same period, suggesting heightened activity as investors reposition.
On-chain data adds to the bearish case. Crypto analyst Ali Martinez reported that large holders sold approximately 1.18 billion XRP over the past four weeks. Such whale distribution often amplifies downside pressure, particularly during periods of weak market sentiment.
Broader conditions have also weighed on prices, with risk appetite across digital assets cooling amid macro uncertainty. While XRP has staged sharp rebounds in the past following pessimistic forecasts, the combination of a bearish chart pattern, heavy selling by large holders, and fragile sentiment underscores the risk of further downside.
For now, XRP’s trajectory hinges on whether buyers can swiftly reclaim lost ground. Without a decisive move back above $2, Brandt’s warning of a potential drop toward $1 remains a scenario markets cannot ignore.