XRP's technical indicators have triggered a bearish signal, raising concerns of an imminent price correction after a recent 14% rebound. The TD Sequential indicator, which has historically predicted trend reversals with notable accuracy, has flashed a "Sell 9" signal on the daily chart. This follows a rally that pushed
above $2.65, with traders now watching key resistance levels and momentum metrics to gauge the next move.
The TD Sequential Sell 9 signal has previously coincided with sharp pullbacks in XRP's price. For instance, a similar signal in early October preceded a 12.89% decline from around $3.10, while a July signal triggered a 23.90% drop. Analysts note that the current Sell 9 appears after a strong rebound, suggesting traders are positioning for potential volatility. Resistance at $2.75 is critical; a failure to break higher could confirm a pullback toward $2.50 or $2.36, levels where previous buying interest emerged.
Meanwhile, XRP's price structure shows mixed signals. On the 4-hour chart, the Relative Strength Index (RSI) remains above 50 at 61.56, indicating short-term bullish momentum, but has cooled from overbought levels. The MACD histogram turned negative at -0.00766, signaling weakening bullish momentum. A bearish divergence between price and MACD-where prices make higher highs but MACD fails to follow-further underscores caution. Traders are closely monitoring whether XRP can maintain its current structure above $2.60.
Market sentiment remains cautiously optimistic, with some experts predicting a potential surge to $3 if XRP breaks through $2.75 resistance. This optimism is fueled by broader market dynamics, including hopes for an XRP ETF approval and anticipation of Federal Reserve rate cuts. However, on-chain data reveals whale activity accumulating at key support levels, suggesting a strategic buildup ahead of potential volatility. Analysts at NewsBTC note that while retail investors remain cautious, institutional positioning hints at a possible "buy the dip" scenario if the price consolidates.
Broader crypto market trends also influence XRP's trajectory. While
tests $4,000 and stagnates near $0.0000103, XRP's focus on critical technical levels highlights its unique positioning. A breakout above the 200-day EMA could validate bullish control, aligning with historical patterns seen in August. However, without a surge in trading volume, a retest of $2.55–$2.45 remains likely, testing the resilience of recent accumulation phases.
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