Usman Salis
XRP (Ripple) is showing weakness after pulling back from recent highs, with bearish signals and whale selling raising concerns about deeper corrections ahead.
XRP is trading at $2.94, down 3.7% in the last 24 hours and nearly 19% off its all-time high of $3.65 hit on July 18. While it's still up 29% over the past month, recent signals have traders worried about what's coming next.
The token's been caught in a rough patch lately, and what started as a small pullback is now looking more serious. Between technical warnings and big players dumping their bags, XRP's facing some real headwinds that could push prices lower.
XRP Price Signals Flash Red
Analyst Ali Martinez dropped some concerning news on August 6, pointing out that XRP's Tom DeMark Sequential indicator just flashed a sell signal on the 3-day chart. This signal popped up right near the local top and has been spot-on with the decline we're seeing now.
But here's the kicker - Martinez also flagged massive whale activity. Over the last few days, whales have dumped more than 720 million XRP tokens. That's serious selling pressure that's hard to ignore, and it usually means either profit-taking or loss of confidence in the short term.
The most worrying part? XRP's MVRV ratio just showed a "death cross." This metric compares market value to realized value, and historically, this cross has been pretty reliable at predicting downside moves. It basically means traders are sitting on smaller profits now, which could lead to more selling if things get worse.
While $3 has been holding as support, Martinez thinks $2.80 is just a temporary stop. He's eyeing $2.48 as the real support level - and that would be a much sharper drop from where we are now.
XRP (Ripple) Price Technicals Looking Shaky
Looking at the daily chart, XRP's moving sideways just below the middle of its Bollinger Bands. The RSI sits at 48.8 - neutral territory but trending lower, which isn't great news.
Both Momentum and MACD indicators have turned negative, suggesting selling pressure is building underneath. Short-term moving averages are starting to flip bearish too, with the 10-day and 20-day averages now acting as resistance instead of support.
The good news? Longer-term averages like the 50, 100, and 200-day are still bullish, meaning XRP hasn't completely broken its bigger uptrend yet.
If XRP breaks below $2.80 with heavy volume, we could see that drop to $2.48 Martinez mentioned. But if it holds above $2.80 and reclaims $3 with decent volume, there's still room to run toward $3.20-$3.30.
The next few days will tell us whether this is just a healthy pullback or something more serious brewing for XRP.
Usman Salis
