XRP's current bearish divergence setup mirrors the technical pattern seen in 2018, which preceded an 80% price correction.
January’s XRP (XRP) price rally risks hitting a point of exhaustion due to an emerging bearish reversal signal.
XRP has surged nearly 50% in January, briefly topping $3.39 on Jan. 18, its highest level in nearly seven years. However, the explosive rally may face headwinds, with technical indicators signaling a potential downside correction of up to 25%.
A key concern is the emergence of a bearish divergence between XRP’s price and its daily Relative Strength Index (RSI). While XRP has been climbing to multi-year highs, the momentum oscillator RSI has trended lower, forming a descending pattern.
