Veteran Trader Peter Brandt Warns XRP Could Drop to $2.78 Amid Market Correction

• Peter Brandt warns that XRP could drop to $2.78, and the cryptocurrency is currently trading at around $2.83.

• Despite positive legal developments with the SEC case, XRP has declined nearly 10% over the past month.

• Institutional interest remains strong through CME futures, and potential ETF approvals may drive future growth.

Veteran trader Peter Brandt has issued a bearish warning for XRP, suggesting the cryptocurrency could experience further declines before any potential recovery. His analysis comes during a broader cryptocurrency market correction that has affected most digital assets.

The seasoned trader posted his concerns on the social media platform X, describing XRP’s current chart pattern as “potentially very negative.” Brandt accompanied his statement with a disclaimer acknowledging his track record includes both correct and incorrect predictions. This cautionary note appears directed at critics who have previously challenged his market forecasts.

Technical Analysis Points to Lower Levels

Brandt’s technical analysis indicates XRP could fall to approximately $2.78, representing a new local low for the digital asset. The cryptocurrency has struggled to maintain momentum above the psychologically important $3 threshold, contributing to the bearish outlook.

Current market data reveals XRP trading at around $2.82, down nearly 5% within a single trading session. Despite positive developments in Ripple’s legal situation, the cryptocurrency has experienced a broader decline of almost 10% over the past month.

The recent downturn follows XRP’s impressive rally to $3.40 after Ripple and the Securities and Exchange Commission jointly dismissed their long-standing legal case earlier this month. The cryptocurrency reached an all-time high near $3.60 before surrendering gains during the current market-wide correction.

Interestingly, Brandt’s current bearish stance contrasts with his previous optimistic outlook. Last month, the trader predicted XRP would move “up up up” following its break from extended consolidation patterns. This bullish call proved accurate as XRP broke above $3 and achieved new price highs.

Institutional Interest Provides Fundamental Support

Despite current price pressures, industry experts maintain optimistic long-term projections for XRP based on fundamental factors. A prominent market analyst, Nate Geraci, suggests that significant upside potential exists through pending Exchange-Traded Fund applications.

Geraci believes regulatory approval of XRP ETFs could trigger substantial capital inflows into the cryptocurrency ecosystem. He points to existing institutional demand demonstrated through Chicago Mercantile Exchange futures products and futures-based ETF vehicles.

The CME XRP futures market achieved a remarkable milestone by reaching $1 billion in open interest within three months of launch, setting a record for cryptocurrency product adoption speed. Additionally, futures-based ETFs have accumulated nearly $1 billion in investor inflows, indicating strong institutional appetite.

This institutional infrastructure suggests underlying demand remains robust despite current technical weakness. Regulatory clarity from the SEC case resolution and growing institutional participation could support XRP prices.