The pace of the market is not turning bullish at this time. XRP will see a death cross next week if the bearish pace persists in the market, while Ethereum and Cardano are slowly losing hope.
The bearish XRP crossover
A death cross, which is a technical event where the 50-day moving average crosses below the 200-day moving average and typically indicates a shift toward long-term bearish momentum, is dangerously close to forming on XRP. This crossover could occur within a week if the current price action persists, which could solidify XRP’s downtrend and lead to another round of selling pressure.
After failing to sustain a significant recovery above $2.50, the token is currently trading at around $2.29, a drop of around 2% from the previous day. The broader bearish structure that has been forming since August is reinforced by the chart’s consistent pattern of lower highs and lower lows.
The strong resistance, which buyers have repeatedly failed to overcome, is confirmed by the rejection near the $2.60-$2.70 area, which is also where the main moving averages are clustered. Increasing pressure from whales to sell is contributing to the bearish setup.
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As previously reported, a newly funded wallet opened a huge 20x leveraged short against XRP and added $7 million worth of USDC to Hyperliquid. This stance raises the possibility that institutional traders are expecting a more significant correction, as well as the presence of other major bearish bets on derivatives platforms.
Momentum indicators are also turning negative. While trading volume continues to rise with red candles, a classic distribution indicator, the RSI, has fallen below 45, indicating waning buyer conviction. A drop towards $1.85 or even $1.60 cannot be ruled out if the death cross is confirmed.
XRP could easily retest its next major support near $2.00; If it breaks, any near-term recovery will likely encounter significant headwinds unless the broader market stabilizes. Right now, both the chart and order flow suggest that XRP’s uptrend is precarious and that the approaching death cross could be a catalyst for its eventual collapse.
Ethereum’s last chance?
Ethereum is currently at what could be its last line of defense before a major breakdown towards the $2,000 area. The cryptocurrency has firmly lost its 200-day moving average, which had acted as long-term dynamic support since February. It is currently trading near $3,600, down approximately 1.7% from the previous day.
Due to this crash, market sentiment has become extremely bearish, putting ETH in a position where any further weakness could lead to deeper losses and cascading liquidations. Based on the chart structure, Ethereum price has been trending lower since July, with lower highs continually rejecting from the $4,000-$4,200 range.
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Technically, trend exhaustion has been confirmed by the recent drop below the black 200-day EMA. The next strong accumulation zone typically forms around $2000-$2200, where substantial buying activity re-entered the market in early 2024, once ETH closes significantly below this moving average.
Momentum indicators do not indicate a reversal, which adds pressure. Although the volume data is not yet pointing to a significant buying reaction, the RSI has fallen below 35, indicating oversold conditions. Short-term traders appear reluctant to intervene until a more distinct support floor is created and sellers continue to maintain a dominant position.
Positively, this $3,500-$3,600 range still corresponds to a crucial structural level that served as resistance several times before ETH’s mid-year surge. A short-term recovery towards $4,000 is possible if the bulls are able to hold this level and push ETH back above $3,800.
The $2,000 psychological mark would then be the next (and possibly last) major buying ground before long-term holders start to give up, but failing to hold it here would likely open the floodgates to $3,000.
Cardano does not recover
As the asset moves into territory that would be considered intolerable for any continued bull market, Cardano is showing serious warning signs. ADA is currently trading at around $0.53. In the last 24 hours, it has fallen more than 2%, continuing a relentless downward trend that has caused its RSI (Relative Strength Index) to reach 31, a level generally associated with extreme oversold conditions.
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The deterioration of the entire technical structure of ADA is especially worrying. The 20, 50, 100, and 200 day EMAs are all stacked in descending order on the chart, showing a complete death cross alignment on the major exponential moving averages. This agreement indicates a deep-rooted loss of momentum across all periods, not just temporary weakness. In the past, these agreements have generally preceded prolonged periods of stagnation or further price capitulation.
After ADA lost its support around $0.65, which was in line with its 200-day EMA, the decline accelerated. Throughout 2024, that level had functioned as a long-term pivot, steadily attracting buyer interest. Its decisive breakout in late October resulted in strong resistance, and all subsequent recovery attempts were quickly dismissed.
The bearish argument is supported by volume analysis, which shows that sellers are still in control due to weak buying inflows and increasing selling pressure. A drop towards $0.45 or even $0.40 seems more likely unless ADA quickly recovers the $0.60-$0.65 range. Although a brief technical rally is possible given the oversold situation, it is unlikely to last long in the absence of fundamental or market-wide catalysts.