XRP advanced roughly 7% on Wednesday, trading near $1.61 as the cryptocurrency entered a price zone that could determine whether its latest recovery gains further traction. The move brings the token to a level that on-chain data had flagged as a significant area of potential profit-taking.
Supply wall at $1.60
Analyst Ali Martinez had previously identified $1.60 as a major resistance zone, where approximately 2.5 billion XRP tokens changed hands. This suggests that holders who acquired XRP at lower prices may look to sell into strength, creating a supply overhang that buyers must absorb.
Despite the resistance, recent whale activity has been supportive. Martinez noted that large holders accumulated about 1.54 billion XRP, worth roughly $2.2 billion, over a 96-hour period. This accumulation helped push the price toward the current level, but the next phase requires sustained buying to convert resistance into support.
Peter Brandt's long-term target
Veteran trader Peter Brandt published a monthly chart suggesting an "eventual advance" to $5.40. However, he emphasized that publishing a chart is not a trade recommendation. Reaching that target would require a more than 200% gain from current levels, likely involving multiple resistance zones and market corrections.
For investors, Brandt's projection is best viewed as a long-term technical scenario rather than an immediate price objective. The more pressing question is whether XRP can hold above $1.60 on a sustained basis.
Technical and institutional context
Gregor Horvat of Wavetraders noted that XRP's rebound has brought its 50-day, 100-day, and 200-day moving averages back into focus, potentially forming a base for further recovery. His Elliott Wave analysis suggests the token may be building a larger three-wave recovery as bearish momentum fades.
Institutional flows provide some support, though they are not accelerating. US spot XRP ETFs recorded cumulative net inflows of about $1.71 billion through September 18, but the pace of new money slowed sharply over the previous three weeks.
The realistic bullish sequence involves breaking resistance, holding it as support, and establishing a higher trading range before challenging the supply zone. A sustained close above $1.60 would offer stronger evidence that the level is turning into support rather than marking the top of the rally.
This article is for informational purposes only and does not constitute financial advice.
