XRP is trading quietly in the market, with 24-hour volumes dropping as much as 58%. Traders are signalling lower activity as trading volumes in the last 24 hours fell 58.41% to $1.1 billion, according to CoinMarketCap data.
While this may seem concerning, the similitude of a reversal signal on XRP charts may signal that attention needs to be paid at this time.
According to Ali, a crypto analyst, XRP appears to be printing a gravestone doji, adding that this might not be a "great look" for the fourth largest cryptocurrency by market capitalization.
From Ali's tweet, it seems this pattern is forming on the weekly chart as he highlighted this pattern on this time frame.
The gravestone doji is a candlestick pattern in which the opening and closing price of the candle is at the same level or is very close to the same level. Doji reflects indecision in the market, with the gravestone doji having long upper shadow and no body. Its appearance is significant after an uptrend, as it might indicate a bearish reversal.
A gravestone doji often implies that the market has decided to be bearish.
What's next for XRP price?
XRP reversed a strong run at 2026's start, which pushed its price to a high of $2.41 on Jan. 6. The cryptocurrency fell for five days at a stretch taken from this date and is currently making rebound attempts.
At the time of writing, XRP was up 0.13% in the last 24 hours to $2.10 but down 0.62% weekly.
XRP's price drop in the past week coincided with the first net outflows from XRP ETFs.
U.S. spot XRP exchange-traded funds (ETFs) recorded their first net outflow day since listing in mid-November, ending a consistent inflow streak among major crypto funds. The funds recorded outflows of $40.8 million on Jan. 7, according to SoSoValue data.
As it stands, XRP continues to trade in a broad range between $1.77 and $2.41. It will be watched in the short term if XRP will convert the daily MA 50 at $2 into support to sustain bullish momentum.
The next crucial breakout for XRP lies at $2.56, which coincides with the daily MA 50. A break above here might open the pathway toward $3 and $3.5.
