Ripple Token Dips 7%; XRP Bulls Lose $70 Million
XRP recently faced significant selling pressure, leading to a decline of approximately 6.7%. The price moved from $1.88 to a low of $1.75, as broader market weakness intensified and triggered a wave of long liquidations.
Market Impact on Ripple Token
The decline was amplified by a general downturn in the cryptocurrency market, particularly driven by Bitcoin’s performance. This weakness primarily affected high-beta tokens like XRP, causing a correlation between Bitcoin’s price movement and XRP’s value.
Liquidation Details
Data from the derivatives market revealed over $70 million in XRP futures liquidations. The majority of these liquidations stemmed from long positions, highlighting how crowded market positioning intensified the selloff.
- XRP fell from $1.88 to $1.75.
- Support near $1.79 failed during the selloff.
- Liquidation caused by forced selling contributed to the price drop.
Technical Analysis Overview
XRP’s price fell sharply below the critical support level of $1.79, triggering heightened selling activity. During this breakdown, trading volume increased significantly, indicating institutional involvement rather than a simple liquidity issue.
Current Price Range and Moving Forward
Following the decline, XRP stabilized in a narrow range of $1.74 to $1.76. However, attempts to rebound were limited, with resistance building just below $1.76. The previous support levels between $1.79 and $1.82 have now turned into resistance.
Trading Outlook
Traders are closely watching the $1.74 to $1.75 range as a critical support area. If XRP holds above $1.74, it may signal a consolidation phase as liquidation pressure subsides. However, reclaiming $1.79 and $1.82 is essential for shifting the market structure back toward neutrality.
If these levels are broken, the price may move further down to $1.72 and $1.70, indicating increased downside momentum. Currently, XRP remains highly sensitive to liquidations and closely tracks Bitcoin’s performance, with technical indicators steering market direction rather than news events.
