Return to the trailhead or continue hiking?
Just beyond the first group of palms is a damp grotto, where a waterfall cascades over huge boulders. The grotto is a popular picnic area and rest stop.
Hiking is more difficult up-canyon after the falls, with lots of dense undergrowth and boulders to navigate around. From the “tourist turnaround” one can continue up the canyon. The creek is a fairly dependable water supply and is usually running late in the fall. The canyon is wet, so watch your footing on the slippery, fallen palm fronds. The canyon narrows even further and the trail dwindles to nothing. Parallel the streambed and boulder-hop back and forth across the water. The canyon zigs and zags quite a bit, so you can never see much more than a few hundred yards ahead. The hike is well-worth the effort though, because most of the 800 or so palms in the canyon are found in its upper reaches. Sometimes you’ll spot rock-climbers practicing their holds on the steep red-rock cliffs above.
The canyon splits 1.75 miles from the falls. Straight ahead, to the southwest, is South Fork. The rocky gorge of South Fork, smothered with bamboo, is in possession of all the canyon’s water. It’s quite difficult to negotiate. South Fork ascends to the upper slopes of San Ysidro Mountain (6,417 feet). The Middle Fork (the way you came) of Borrego Palm Canyon is dry and more passable. It’s possible to hike quite a distance first up Middle Fork, then North Fork of Borrego Palm Canyon, but check with park rangers first. It’s extremely rugged terrain.