XRP Price Triggers Brutal 13,600% Liquidation Imbalance: What’s Going On?

XRP traders just lived through one of those hours textbooks that clean the whole charts like, according to CoinGlass, more than $412,000 in leveraged positions were wiped out, and almost every penny came from long ago.

For comparison, short positions at a figure of $3,200, leaving a 13,600% imbalance that tells the whole story about the current state of the crypto market right now.

As always, the triggers are on the XRP price chart. On the one-minute chart, the dip looked surgical – from $2.425 to $2.3817 in less than an hour, with more than 10 million XRP traded and most of it driven by forced liquidations, not active selling.

It wasn’t panic, it was spot selling pressure on overleveraged futures positions. You could see bids fade, candles shrink and the range that has been holding up well for days finally gives in without a fight, which is understandable in the current conditions of extreme fear.

The structure behind the XRP futures The collapse is a usual story this fall – the overleveraged longs built during the calm stretch above $2.40, thinking that the selling pressure is exhausted. When the wicket fell, the margin calls did the rest.

What’s next for XRP?

This wasn’t bears taking control, just traders paying for greed the same way they did near $1.95 earlier this year – too much size, too little patience, same end.

You may also like it

Now the liquidity is lower, around $2.38 to $2.36, exactly where the next test should come. Unless new capital shows up to rebuild positions, XRP will likely go sideways in the afternoon, trying to digest the scraps left by that brutal hourly candle.