Ripple (XRP) Showing Bearish Signs – Is a Price Correction Looming?

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Ripple (XRP) has recently exhibited signs of weakening momentum, raising concerns among traders and investors about a potential price correction. After a strong upward movement, the cryptocurrency faced a bearish rejection near a key resistance level last month, sparking speculation about its next move. While medium-term indicators still reflect bullish undercurrents, short-term signals are increasingly pointing to downward pressure. This article dives deep into the technical landscape across multiple timeframes to assess whether XRP is poised for a deeper pullback—or if this is merely a healthy consolidation before the next leg up.

Monthly Chart: Bullish Momentum Still Intact

On the monthly timeframe, XRP continues to display foundational strength. The Moving Average Convergence Divergence (MACD) histogram remains in positive territory, with the MACD lines locked in a bullish crossover—a strong signal of long-term upward momentum. Meanwhile, the Relative Strength Index (RSI) sits in neutral ground, suggesting that the market isn’t overbought or oversold, leaving room for further movement in either direction.

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Price action last month saw XRP test resistance near the Golden Ratio level at approximately $0.75 before retreating. This bearish rejection indicates growing selling pressure at higher levels. However, the pullback found support at the 0.382 Fibonacci retracement level, around $0.573, where a bounce occurred—typical behavior in an ongoing uptrend.

Should this support break, the next major floor lies at the 50-month Exponential Moving Average (EMA), currently near $0.516. A drop to this level would still keep XRP within a bullish structural framework, especially if followed by renewed buying interest. Further below, the 0.5 Fibonacci level at $0.46 represents a critical zone; as long as XRP holds above this mark, the medium-term outlook remains constructive.

Weekly Chart: Bearish Signals Emerge Amid Bullish Structure

Zooming into the weekly chart, a more nuanced picture emerges. Despite the presence of a golden crossover in the EMAs—historically a reliable bullish signal—the MACD histogram has turned downward this week, indicating weakening momentum. Although the MACD lines remain in a bullish crossover for now, the divergence between price action and momentum hints at potential trouble ahead.

The RSI is once again neutral, hovering around the 50 mark, which neither confirms nor negates the possibility of a correction. What’s more telling is the price formation: XRP has made a lower high following its recent rally, a classic sign of weakening bullish conviction.

If the 0.382 Fib support at $0.573 fails to hold, the next logical target for sellers would be the Golden Ratio retracement zone near $0.46. This area aligns with historical demand and could serve as a strong base for a rebound. For now, the weekly data suggests that while the broader trend is still upward, short-term weakness may pave the way for a deeper correction.

Daily Chart: Mixed Signals Point to Indecision

The daily chart presents a conflicting set of signals, reflecting market indecision. On one hand, the golden crossover in EMAs continues to support a bullish bias in the short to medium term. On the other hand, bearish forces are gaining traction—the MACD lines have crossed bearishly, and the histogram is declining, signaling increasing downward momentum.

The RSI remains neutral, offering no clear directional clue. However, price action tells a story: XRP formed a lower high after its recent peak, suggesting that buyers are losing control. This pattern often precedes further downside as momentum shifts to the bears.

Without a decisive break above recent resistance levels—particularly the $0.62–$0.63 zone—upside potential remains limited. Until then, traders should prepare for possible consolidation or another leg down toward key support zones.

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4-Hour Chart: Death Cross Looming?

The 4-hour (4H) timeframe reveals growing short-term bearish pressure. The MACD lines have completed a bearish crossover, and although the histogram is ticking upward—hinting at a brief rebound—the overall trend remains fragile. More concerning is the proximity of the 50- and 200-period EMAs, which are converging and may soon form a "death cross"—a bearish pattern that often precedes sustained downtrends.

Resistance looms at $0.621 (50-4H EMA) and $0.632 (200-4H EMA), both of which have capped previous rallies. A sustained move above these levels would be needed to invalidate the bearish setup.

Meanwhile, the RSI is neutral, not yet indicating oversold conditions, which means there could still be room for further downside before buyers step in aggressively.

This confluence of technical factors suggests that while a short-term bounce is possible, the path of least resistance may be downward unless strong buying volume returns.

XRP vs. Bitcoin: Bearish Pressure Builds

When analyzing XRP’s performance against Bitcoin (BTC), additional cautionary signs appear. The XRP/BTC pair is testing support at the Golden Ratio level of approximately 0.0000155 BTC. A break below this level could open the door to a drop toward 0.0000124–0.0000134 BTC, representing significant relative weakness.

The MACD histogram has been trending lower for months, and the lines are nearing a bearish crossover. While the RSI is neutral and approaching oversold territory—potentially setting up for a rebound—the overall trend favors sellers for now.

A weakening XRP/BTC ratio suggests that even if Bitcoin stabilizes or rises, XRP may underperform, highlighting reduced investor appetite for altcoins like Ripple in the current environment.

Frequently Asked Questions (FAQ)

Q: Is XRP in a bear market?
A: Not yet. While short-term indicators are bearish, the monthly chart still shows strong bullish momentum. A true bear market would require a breakdown below key long-term supports like $0.46.

Q: What is the next support level for XRP?
A: Immediate support sits at $0.573 (0.382 Fib). If that fails, watch $0.516 (50-month EMA) and then $0.46 (0.5 Fib), which is critical for maintaining bullish structure.

Q: Can XRP recover if it breaks below $0.57?
A: Yes. Corrections are normal in strong trends. As long as $0.46 holds, recovery remains likely—especially with positive macro or regulatory developments.

Q: What does a death cross mean for XRP?
A: A death cross (50 EMA crossing below 200 EMA) signals short-term bearish momentum. It doesn’t guarantee a long downturn but increases risk of further declines.

Q: Should I sell XRP now?
A: This is not financial advice. However, traders may consider risk management strategies like stop-loss orders or position scaling if key supports break.

Q: How does XRP’s performance against BTC affect its price?
A: A falling XRP/BTC ratio means XRP is losing value relative to Bitcoin, often indicating weaker investor confidence during risk-off phases.

Core Keywords:

While bearish signals dominate shorter timeframes, Ripple’s long-term technical foundation remains resilient. Traders should monitor key support levels and volume trends closely. Any sustained recovery above $0.63 could reignite bullish momentum—but until then, caution is warranted.

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