XRP News Today: XRP Liquidations Hit $82.5M as Token Drops 18% in Hours

XRP traders faced an unprecedented wave of liquidations this week, with over $82.5 million in long positions wiped out as the token plummeted from a multi-year high of $3.65 to the $3.00 range within hours [3]. Cryptocurrency analyst Chad Steingraber described the event as the “biggest flush ever,” citing data from platforms like CoinGlass that showed $88 million in XRP longs liquidated in 24 hours [1]. The collapse followed a rapid price surge fueled by speculative bets, leaving traders with leveraged positions exposed to sudden reversals.

The broader market saw over $700 million in leveraged positions erased in the same period, with nearly 85% of losses concentrated in XRP longs. This marked one of the largest single-asset liquidation events in crypto history, surpassing Bitcoin’s $88.58 million losses and trailing only Ethereum’s $152.78 million in liquidations [2]. Coindoo reported a $288 million liquidation spree across Ethereum and XRP, with XRP accounting for $41 million in a four-hour window [4]. The severity of the wipeout intensified speculation about coordinated selling by large whale holders, though no definitive evidence of such activity was cited.

The price drop exposed vulnerabilities in leveraged trading strategies, particularly in lower-cap assets. Technical indicators showed XRP’s Relative Strength Index (RSI) plunging from overbought levels near 88 to 68, while the MACD signaled a potential bearish crossover [1]. Despite short-term stabilization around $3.00–$3.10, further volatility remains likely. A failure to reclaim the $3.40–$3.66 range could push the token toward $2.80 or lower.

Institutional developments, such as Brazil’s VERT Capital tokenizing agribusiness debt on the XRP Ledger, highlight real-world adoption of the technology. However, these factors are unlikely to offset immediate speculative losses as the market digests the liquidation event. The incident underscores the risks of over-leveraging during rapid price surges, with Reddit discussions and venture capital-linked posts noting the fragility of altcoin positions in the face of whale-driven manipulation [6].

While XRP’s long-term fundamentals remain a topic of debate, the short-term outlook is clouded by algorithmic trading dynamics and institutional selling pressure. The liquidation event serves as a cautionary tale for traders: in crypto markets, aggressive leverage can amplify both gains and catastrophic losses.

Sources:

[1] [Times] [https://timestabloid.com/xrp-longs-are-being-wiped-out-in-biggest-flush-ever/]

[2] [Yahoo Finance] [https://finance.yahoo.com/news/ether-xrp-traders-book-bigger-041906252.html]

[3] [X (Belisarius2020)] [https://x.com/Belisarius2020/status/1948183****82583695]

[4] [Coindoo] [https://coindoo.com/ethereum-and-xrp-lead-288m-liquidation-spree-in-just-4-hours/]

[6] [Reddit] [https://www.reddit.com/r/CryptoMarkets/comments/1m7g704/will_alt_season_happen/]