The XRP price is entering a high-risk technical zone as market sentiment tilts decisively bearish. A looming death cross — where the 50-day moving average slips below the 200-day line — is sending strong warning signals to traders and long-term holders alike. Historically, this crossover has marked the beginning of extended downtrends across major cryptocurrencies.
At the same time, large holders (or “whales”) have begun to offload significant volumes of XRP, amplifying selling pressure and undermining investor confidence. Unless a strong rebound occurs soon, XRP could be poised for a deeper correction phase.
Death Cross Looms as Sellers Take Control
The 50-day moving average (MA) is rapidly descending toward the 200-day MA, confirming growing short-term weakness. The flattening 200-day MA suggests fading bullish momentum, while repeated failures to reclaim the $2.60 resistance underscore waning buyer strength.
If the death cross confirms, algorithmic trading systems could trigger further sell-offs — potentially accelerating the decline. In such a case, XRP may transition from a mild correction into a sustained bearish phase.
This technical setup is not unique to XRP. Similar patterns in Bitcoin and Ethereum during previous cycles often led to months of price stagnation before recovery attempts emerged.
Indicators Signal Mounting Downside Momentum
On the daily chart, XRP is showing signs of accelerating weakness across multiple indicators.
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Bollinger Bands are widening, reflecting increased volatility as XRP trades near the lower band — a common sign of sustained selling pressure.
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Relative Strength Index (RSI) stands at around 36, indicating continued dominance of bearish momentum.
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XRP remains below its 20-day simple moving average (SMA), confirming short-term bearish control.
At press time, XRP trades at $2.27, down 5.32% over the past 24 hours. The decline coincides with a wider crypto market correction that saw nearly $595.8 million in long positions liquidated, intensifying risk-off sentiment across major digital assets.
A decisive break below the $2.29 support level now exposes XRP to a potential drop toward $2.00, with the next key zone at $1.60 — a region that historically acted as a major rebound area in previous market cycles.
Whale Selling Accelerates Bearish Momentum
The bearish picture is compounded by heavy whale liquidation. On-chain data shows that over 900,000 XRP have been sold by large wallets in just five days. Additionally, addresses holding between 100 million and 1 billion XRP continue to shrink — a clear sign that influential investors are reducing exposure.
Historically, similar whale behavior has preceded further price declines, as large holders often move early ahead of broader corrections. This wave of selling not only increases supply pressure but also dampens confidence among retail investors.
Outlook: Further Downside Likely Unless a Sharp Reversal Emerges
With bearish technicals, waning momentum, and ongoing whale sell-offs, XRP’s short-term outlook remains fragile. The $2.45 resistance continues to cap recovery attempts, while sellers dominate trading volumes.
Although brief relief rallies may occur, the broader bias remains negative. Unless XRP can swiftly reclaim key moving averages and attract renewed buying interest, a drop below $2.00 looks increasingly likely in the coming days.
For traders and investors, vigilance is essential — as the formation of a death cross often marks not just a technical milestone, but the potential start of a prolonged bearish cycle.