XRP’s rally lost steam after a sharp seven-day climb, with the token pulling back as traders ran into resistance near $1.55.
Decrypt reported that crypto market sentiment flipped from fear to extreme greed this week for the first time since 2024, and XRP moved hard with that shift. The Ripple-linked cryptocurrency erased what the report described as its most bearish signal last week, then posted a 46% gain over seven days and topped a $91 billion market capitalization.
That run has started to cool. XRP fell as much as 2% earlier today. Decrypt noted that XRP was not the only top-10 coin in retreat, though its drop was among the shallowest within the group of decliners.
XRP slips from $1.5505 to $1.4554 on the daily chart
On the daily chart, XRP is trading at $1.4554 after reaching a high of $1.5505. The report says the recovery has not yet broken out of a longer-term downtrend.
From most of April through July, XRP trended lower and bottomed near $1.00 in early August. Since then, the move has been steep. Price surged roughly 55% to $1.55, while the Average Directional Index, or ADX, rose to 44.8. Decrypt said that reading confirms the move was not a weak bounce but a strong directional leg.
The pace of that rise also created strain. XRP ran straight into $1.55 and then reversed. Its latest daily candle closed at $1.4554 after opening at $1.4818, marking a second straight down day. In Decrypt’s reading, the setup looks more like a relief rally stalling below resistance than a full trend reversal.
Death cross remains in place as traders watch resistance
XRP’s 50-day average, or EMA50, is still below its 200-day average in what traders call a death cross. When the shorter average stays below the longer one, the medium-term path remains pointed lower, which the report described as a sign that bearish conditions are still present.
Decrypt also noted that a death cross is a lagging signal. The sharp August rally lifted XRP above both moving averages before this pullback, which helps explain why the recent strength did not immediately reverse the broader moving-average structure.
Still, with the death cross active, the bounce could turn into a bull trap if the market rejects $1.55 again.
RSI at 76.8 leaves $1.5507 and $1.4342 in focus
The Relative Strength Index, or RSI, is at 76.8. RSI measures momentum on a scale from 0 to 100, with readings above 70 generally considered overbought and readings below 30 seen as oversold. At 76.8, Decrypt said XRP looks stretched on the upside, which serves as a warning that the recovery ran hot rather than a fresh green light for buyers.
For the bullish case, XRP would need to reclaim and hold $1.5507, then push toward $1.5824 and $1.6227. The report says that scenario would require what traders call squeeze momentum to fire while RSI cools without a breakdown in price.
The bearish setup is tied to the loss of the $1.4342 floor. If that level gives way, the recovery could slide back toward the early-August base. A daily close below $1.4342 would put the $1.40 shelf and the $1.00 starting point of the rally back in play.
Until XRP reclaims $1.5507, Decrypt’s base case remains lower, with a drift toward $1.4342 before the next leg is decided.
The publication added that the views and opinions in the article are for informational purposes only and do not constitute financial, investment, or other advice.
