Key Insights
- XRP is nearing a death cross, signaling a heightened risk of prolonged market weakness and extended bearish trends.
- Whale wallets have offloaded over 900,000 XRP in five days, adding to supply and undermining short-term price support.
- XRP broke below $2.29 support and may test $2.00 soon, with the $1.60 zone becoming a critical level if losses deepen.
XRP’s short-term outlook remains under pressure as the 50-day moving average is on track to cross below the 200-day average. This pattern, known as the death cross, is widely regarded as a strong bearish signal and often coincides with extended downtrends in major assets.
The flattening of the long-term 200-day average and the sharp descent of the 50-day line reflect a lack of sustained demand. XRP’s failure to reclaim the $2.60 level reinforces concerns that selling pressure is gradually overtaking buyer momentum.
Technical Indicators Highlight Weakness
XRP trades near the lower Bollinger Band on the daily chart, with volatility increasing in recent sessions. At press time, the asset has dropped 5.32% within 24 hours and currently trades at $2.27.
This decline follows a broader market downturn, which saw nearly $595.8 million in long positions liquidated across cryptocurrencies. XRP now trades below its 20-day simple moving average, and its Relative Strength Index has fallen to around 36, indicating that selling pressure is dominant.
The recent breakdown below $2.29 support leaves XRP exposed to the next key support at $2.00. If selling continues, the $1.60 zone could emerge as the next level of interest, based on past rebound activity at that range.
Whale Sell-Off Intensifies Price Decline
On-chain data shows large XRP holders have been reducing their exposure. More than 900,000 XRP tokens were sold in the last five days, marking a significant decline in whale confidence.
Wallets holding between 100 million and 1 billion XRP have shown a steady decrease in token holdings, aligning with the downward trajectory of the market. This distribution trend is often seen ahead of broader corrections.
XRP continues to face resistance near the $2.45 level, with weak buying interest failing to reverse its course. Sellers have maintained dominance, and the death cross formation could prompt further downside. If the technical setup confirms, increased automated selling may follow. Without a sudden surge in demand, XRP appears vulnerable to further declines in the coming sessions.
