XRP Falls 9.5% as TD Sequential Signals Possible Reversal

XRP fell 9.5% as the TD Sequential indicator printed a weekly buy setup, hinting the bearish trend may be losing steam. Ethereum showed a bearish TD Sequential on its 12-hour chart, leaving traders watching for confirmed reversals.

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XRP Falls 9.5% as TD Sequential Signals Possible Reversal

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XRP tumbles after TD Sequential prints a weekly buy setup

Key takeaways

  • XRP dropped about 9.5% after the TD Sequential indicator registered a weekly buy signal following nine consecutive red candles.
  • Ethereum showed a bearish TD Sequential setup on its 12-hour chart, wiping out recent recovery gains.
  • Both TD Sequential signals remain unconfirmed; traders are watching for either reversals or continuation of downside pressure.

What the TD Sequential is signaling for XRP

XRP slid nearly 9.5% as technical indicators suggested a potential shift in the prevailing trend. The Tom DeMark (TD) Sequential, a popular technical analysis tool used to spot trend exhaustion and reversal points, printed a weekly buy setup after counting nine successive red candles on XRP's weekly chart. Analyst Ali Martinez highlighted the setup and noted the indicator’s recent track record, including correct weekly trend turns for assets like Solana since March 2023.

The TD Sequential works in two stages: a nine-bar "setup" of same-polarity candles and a subsequent 13-bar "countdown" that can further confirm trend exhaustion. A buy setup follows a series of bearish candles and suggests the downtrend may be losing momentum, while a sell setup follows a run of bullish candles and points to potential weakness.

Ethereum’s shorter-term bearish signal

On a different timeframe, Ethereum registered a bearish TD Sequential on the 12-hour chart after printing nine green candles. That signal coincided with a pullback that erased some of ETH’s recent recovery gains, illustrating how TD Sequential signals can appear across timeframes and produce conflicting short- and long-term implications for the broader crypto market.

Why traders remain cautious

Neither the XRP weekly buy setup nor Ethereum’s 12-hour sell signal is fully confirmed until follow-through price action or the countdown phase plays out. Traders and institutional desks monitoring crypto markets, on-chain flows, and liquidity are waiting to see whether buyers step in around XRP’s new levels or whether selling pressure intensifies.

Risk management remains crucial: the TD Sequential is a timing tool rather than a guarantee, so traders typically combine it with volume, support/resistance, and broader market sentiment before entering positions. For XRP and ETH, the next sessions will be decisive in confirming reversal prospects or signaling further downside for crypto prices.

Source: crypto

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