What Triggered the 6,350% Surge in XRP Long Liquidations Compared to Shorts?
Longs continue to take a beating in the market, with XRP longs in particular being in the spotlight recently as $1.27 million in their long positions were liquidated. The 6,350% surge in long liquidations could be due to XRP’s recent price action, highlighting the general sentiment within its ecosystem.
$1.27 million in long positions were liquidated, with data from Coinglass showing that $1.27 million in long positions were liquidated in the past 24 hours. This is a massive number compared to the $19,220 in short positions that were liquidated during this period. This likely occurred due to the 3.85% drop in XRP’s price, as the crypto token dropped to $0.51 in the past 24 hours.
XRP’s price drop during this period is believed to have been caused by a sharp correction in Bitcoin’s price, with the flagship cryptocurrency once again falling below $62,000. However, there also appears to be a bearish sentiment within the XRP ecosystem, with data from the XRP derivatives market showing a drop in trading volume of over 26%. Meanwhile, options volumes also fell by more than 46%. These data suggest that XRP investors are choosing to remain on the sidelines as bears currently appear to have the upper hand. However, the bright spot is that open interest has increased, which means that some bulls are still willing to bet on the crypto token.
Given that crypto analysts are predicting a major move for XRP, these bulls may have good reasons to bet on the cryptocurrency. Specifically, crypto analyst
Jonathan Carter recently predicted that XRP could rise to $0.93 and further to $1.68. There is also a sense that a rally in XRP is long overdue and could come soon.
When will the XRP rally come:
A rally in Ripple could be imminent as the legal battle between the United States Securities and Exchange Commission (SEC) and Ripple is coming to an end, with a ruling expected soon. Crypto analyst JackTheRippler predicts that the crypto token could rise to $100 once the case is over. While this price level is undoubtedly ambitious, XRP could still rise significantly considering that it has also been trending higher after Judge Analisa Torres ruled that the crypto token is not a security.
