XRP News Today: XRP's Death Cross Looms as Bearish Momentum Overwhelms Retail Apathy

Ripple's XRP faces mounting pressure as on-chain activity and technical indicators point to a prolonged bearish trend, with retail demand remaining subdued amid broader crypto market volatility. The token, which trades near $2.40, has seen its derivatives market weaken significantly since a sharp sell-off on October 10, when over $19 billion in crypto assets were liquidated. CoinGlass data reveals that XRP's futures open interest (OI) has plummeted to $3.54 billion from a peak of $9.09 billion in October, signaling reduced risk appetite among traders, according to an FXStreet report. The OI-weighted funding rate, currently at 0.0010%, reflects a shift toward short positions, further depriving XRP of upward momentum, per the same FXStreet report.

Technical analysis reinforces the bearish outlook. XRP's Relative Strength Index (RSI) hovers near 41, inching closer to oversold territory, while the Moving Average Convergence Divergence (MACD) indicator threatens to trigger a sell signal as the blue line approaches the red signal line.

The token trades below key moving averages, including the 200-day EMA at $2.60, amplifying concerns of a potential breakdown below the critical $2.40 support level noted in the FXStreet analysis. A breach could accelerate the decline toward $2.18, a prior support zone, and open the door for a 10% drop in the near term.

Compounding these challenges, Ripple's monthly unlocking of 1 billion XRP tokens has raised liquidity concerns. While the company frames the release as part of its escrow plan to support ecosystem growth, market participants worry about short-term selling pressure. XRP's circulating supply now stands at 60.1 billion tokens, with the price still 37% below its 2018 peak, according to a Coinpedia article. Analysts caution that the unlock's impact hinges on overall market sentiment and Ripple's ability to deploy tokens into strategic partnerships, the Coinpedia article adds.

Despite the near-term gloom, XRP's utility in institutional use cases offers a counterpoint. Ripple's On-Demand Liquidity (ODL) service, which leverages XRP to facilitate cross-border payments, has processed $1.3 trillion in settlements through 300+ partners, including Santander and SBI, according to a CryptoBasic article. Additionally, XRP's role in blockchain-powered B2B transactions—highlighted by platforms like Tranglo—demonstrates growing adoption for faster, lower-cost liquidity solutions in a TimeStabloid piece. However, these developments have yet to translate into broader retail enthusiasm, as daily active accounts on the XRP Ledger remain stagnant at ~25,000, lagging far behind competitors like Solana, the CryptoBasic article notes.

The market's bearish bias is further underscored by the looming "death cross," a technical pattern where the 50-day simple moving average (SMA) crosses below the 200-day SMA. Currently, XRP's 50-day SMA at $2.74 approaches the 200-day SMA of $2.55, with analysts warning that confirmation of the pattern could trigger sustained selling, as suggested in a Nasdaq prediction. This comes amid macroeconomic uncertainties, including Federal Reserve policy expectations and geopolitical tensions, which weigh heavily on risk assets, according to a Yahoo Finance article.

Long-term optimists, however, argue that XRP's institutional traction and Ripple's expansion into custody and treasury services could stabilize its value. Monica Long, Ripple's president, emphasized the company's focus on private growth and strategic acquisitions, rejecting immediate IPO speculation in an FXStreet article. Meanwhile, projects like XRP Tundra, which integrates NFTs into DeFi staking frameworks, signal evolving use cases for the asset in a Coincodex article.

In summary, XRP's immediate outlook remains precarious, with technical indicators, weak retail demand, and liquidity concerns aligning against a sustained rebound. While institutional adoption and utility-driven innovations offer hope for the future, investors must navigate a market increasingly dominated by risk-off sentiment and bearish momentum.