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There's a new signal popping up on the XRP chart, and it's not one that bulls will want to ignore. A "death cross" has just shown up on the daily time frame — with the 23-day moving average (green) crossing below the 50-day (blue) — which is a pattern traders usually link to a possible downside continuation or at least a weakening uptrend.
Right now, XRP is trading at about $2.21. While the asset has recovered a bit from last week's drop to $2.07, it is still below both moving averages. The death cross itself doesn't guarantee a drop, but it usually makes sellers cautious or at least puts bulls on the defensive — especially when it's accompanied by hesitant price action.
Taking a closer look at the candles, XRP's recent bounce has not managed to return above the 50-day moving average, which is currently around $2.27. That level, along with the 23-day, is now acting as dual resistance. Unless XRP breaks above both with strong volume, there's a real risk this bounce may get sold into.
What's really interesting here is the context. This is not a sudden breakdown — the XRP price has been trending down for weeks. Each rally attempt has faded faster, while the volatility has stayed low.
It feels like the market is waiting for something to trigger it, and the death cross might be that signal — just not the one the bulls are hoping for.
For short-term traders, the danger is in thinking the worst is over too soon. With the moving averages going down and the momentum still up in the air, going after green candles here might be a mistake. If it breaks out over $2.27, that will change things.
But until then, the death cross is a technical warning: Proceed with caution.
Vladislav Sopov
U.Today Editorial Team