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Rivian's Bearish Breakdown: Death Cross Confirms Downtrend

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Rivian's Bearish Breakdown: Death Cross Confirms Downtrend

Rivian Automotive Inc‘s (NASDAQ:RIVN) stock officially entered a Death Cross, a bearish technical signal that occurs when the 50-day simple moving average (SMA) drops below the 200-day SMA.

Chart created using Benzinga Pro

This pattern often indicates sustained downside momentum, and with Rivian stock already down nearly 18% year to date and over 24% in the past month, the technical outlook isn't encouraging.

Read Also: Rivian’s Georgia Facility To Be Ready In 2028, EV Exports To Foreign Markets After R2 Production Ramp, Says CFO

Rivian Stock's Death Cross Signals A Steeper Decline

The numbers confirm Rivian stock's bearish trajectory:

  • Death Cross Formation: The 50-day SMA ($12.70) has crossed below the 200-day SMA ($12.73), a historically bearish indicator.
  • Moving Averages: Rivian stock, at $10.74, is trading below its eight-day ($10.89), 20-day ($11.72), 50-day ($12.70), and 200-day ($12.73) SMAs, reinforcing downward pressure.
  • Moving Average Convergence Divergence (MACD): The MACD indicator at a negative 0.58 suggests weak momentum, a sign that sellers remain in control.
  • Relative Strength Index (RSI): At 37.12, the RSI is approaching oversold territory but hasn't yet signaled a reversal.

With these technicals aligning in a bearish pattern, traders may remain cautious until a bullish catalyst emerges.

Investor Implications: More Downside Possible?

The death cross often leads to extended weakness, particularly in a stock already struggling with declining momentum.

While Rivian's plans to ramp up production of its R2 SUV in 2026 and expand internationally could support long-term growth, short-term traders may see further downside risk.

For now, Rivian’s stock is in a downtrend, and technical traders might wait for signs of a reversal before considering a bullish stance. Until then, the death cross remains a clear warning signal for investors.

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Photo: Shutterstock

 

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