XRP Faces 32,474% Liquidation Imbalance as Bulls Suffer Losses

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XRP derivatives saw a 32,474% imbalance in long vs. short liquidations in just one hour.

Over $1.26 million in XRP longs were liquidated as prices dropped below $3 amid heavy market pressure.

The broader crypto market recorded $552 million in liquidations in 24 hours, led by Ethereum with $174 million.

XRP saw a rare and significant liquidation imbalance in its derivatives market. Within one hour, data from CoinGlass showed a 32,474% disparity between long and short contract liquidations. Most losses came from long positions, amounting to $1.26 million. In contrast, shorts contributed less than $3,880 to the total.

The liquidation event occurred amid a wider downturn in the cryptocurrency market. Ethereum declined by over 6%, Solana experienced similar losses, and Bitcoin fell by nearly 2%. The total crypto market saw over $552 million in liquidations within 24 hours. Ethereum led with $174 million in long positions wiped out.

XRP Price Drops Below $3 Amid Derivatives Pressure

During the liquidation wave, XRP fell to $2.94, marking a 5.7% daily loss. The token briefly touched lows just above $2.92. The sharp decline aligned with the elevated long exposure that had built up in anticipation of bullish continuation. Once price momentum reversed, leverage positions rapidly unwound.

Liquidation imbalances are not uncommon, but the scale seen in this instance stands out. The data revealed that positioning in the XRP derivatives market had become excessively skewed toward longs. With minimal protective measures, the swift price drop triggered broad liquidations in a short window.

While the liquidation total was not a record-breaking figure, the one-sided nature of the exposure shows that market sentiment was overly optimistic. With derivatives leverage now reduced, future positioning will depend on how traders re-enter the market. At present, XRP remains close to the $3 mark with a lighter derivatives structure.

The post XRP Faces 32,474% Liquidation Imbalance as Bulls Suffer Losses appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.

XRP1.37%
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