Crypto trader Peter Brandt says payments-focused altcoin XRP can witness over 3x rallies if it breaks out from a bullish continuation pattern.
The veteran analyst tells his 768,200 followers on the social media platform X that he’s keeping an eye on the market cap of XRP, which he notes is flashing a bull flag.
A bull flag is typically viewed as a bullish pattern, suggesting that an asset is consolidating before potentially igniting new rallies.
Says Brandt,
“Half mast flags should complete within six weeks, otherwise they should be viewed with great suspicion. This flag in XRP needs to rock and roll soon, otherwise it will likely morph into something else TBD (to be determined). But if it completes, then a market cap of $500 billion is possible.”
Based on the trader’s chart, XRP appears to have entered the sixth week of consolidation inside a bull flag, indicating that the clock is ticking for the altcoin to break out of the pattern. Should XRP break out and hit a $500 billion market cap, it would translate to a price of $8.68 provided supply remains the same.
At time of writing, XRP is trading for $2.28 with a market cap of $131.11 billion.
Looking at Bitcoin, Brandt says that while BTC is flashing a bearish head-and-shoulders pattern on the daily chart, it doesn’t necessarily mean that a severe correction is in sight.
A head-and-shoulders pattern is a structure suggesting that a trend reversal is in play after the asset fails to sustain its momentum to print higher prices.
According to Brandt, Bitcoin’s ability to stay above the neckline of the pattern at $90,600 may be indicative of BTC’s strength.
“The failure of a widely talked about pattern to properly develop tells me more about a market than the widely recognized pattern itself BTC.”
At time of writing, Bitcoin is trading for $96,876.
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on X, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
