XRP Price Eyes 34% Rally as ADX Rises

by SK
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On May 31, 2025, XRP/USDT on the 4-hour chart created a descending channel pattern.

XRP/USDT 4-Hour Chart. Source: TradingView.com

A descending channel forms when price moves between two downward-sloping parallel lines, indicating controlled selling with potential for breakout.

Currently, XRP trades at $2.133. The token is bouncing near the lower boundary of the channel and sits below the 50-period EMA at $2.2795. If the pattern confirms with a breakout above the upper red trendline, the price could rally 34% from the current level.

This would push XRP to the $2.870 zone, as marked on the chart.

Volume remains steady, while RSI is at 30.88, near the oversold zone, suggesting possible bullish reversal pressure. The RSI also shows signs of divergence from the falling price trend.

So far, the channel has guided lower highs and lower lows since May 13. However, XRP has maintained support at each cycle low. If buyers regain strength and breach the upper boundary, momentum may flip sharply upward.

XRP Trend Momentum Strengthens as ADX Climbs Above 27

On May 31, 2025, XRP’s trend strength began rising again, according to the Directional Movement Index (DMI) on the daily chart.

XRP/USDT Daily DMI Chart. Source: TradingView.com
XRP/USDT Daily DMI Chart. Source: TradingView.com

The Average Directional Index (ADX) now reads 27.3591, rising above the 25 threshold that signals a strengthening trend. The positive directional indicator (+DI) stands at 13.6144, while the negative directional indicator (−DI) is slightly higher at 15.5593, showing bears still have minor control.

However, the ADX’s upward slope confirms that momentum is building. For most of May, XRP traded in low-momentum conditions as the ADX remained under 25. This new breakout suggests the market is entering a more decisive phase.

If +DI crosses above −DI in the coming sessions while the ADX continues to climb, it could mark the beginning of a stronger bullish trend. Until then, the token remains at a turning point, with growing pressure but no clear directional breakout yet.

XRP MACD Flips Bearish as Signal Line Crossover Confirms Weak Momentum

On May 31, 2025, the Moving Average Convergence Divergence (MACD) for XRP/USDT confirmed a bearish crossover on the daily chart.

XRP/USDT Daily MACD Chart. Source: TradingView.com
XRP/USDT Daily MACD Chart. Source: TradingView.com

The MACD line (blue) dropped below the signal line (orange), with current values showing MACD at -0.0346 and signal at -0.0241. The histogram also shifted to deeper red, reflecting growing bearish momentum.

This crossover signals a change in short-term trend direction. Since early May, the MACD had stayed above the signal line, supporting a mild bullish bias. However, the reversal now suggests the upside pressure has faded.

Moreover, the declining histogram bars point to increasing selling pressure. If the bearish divergence continues, XRP may see further downside before any recovery attempt.

The indicator’s current position below the zero line also reinforces the negative trend.

XRP Faces Weak Buying Pressure as CMF Turns Negative

On May 31, 2025, the Chaikin Money Flow (CMF) for XRP/USDT dropped to −0.04, slipping below the neutral zero line.

XRP/USDT Daily CMF Chart. Source: TradingView.com
XRP/USDT Daily CMF Chart. Source: TradingView.com

The CMF measures buying and selling pressure using both price and volume. Values above zero signal accumulation, while readings below zero indicate distribution. XRP now shows mild capital outflow, confirming bearish sentiment.

For most of May, CMF stayed above zero, showing some accumulation. However, the latest drop into negative territory signals that sellers are regaining control.

If CMF stays below zero and continues to decline, XRP could remain under pressure, limiting any short-term rebound attempts.

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