XRP Long Liquidations: $82.5M Wiped Out in Historic Flush
XRP long liquidation events reached $82.5 million this week, marking the largest wipeout in token history. Overleveraged traders saw positions collapse after XRP plunged from a multi-year high of $3.65 to around $3.00 in hours. Data from CoinGlass and analyst Chad Steingraber confirm that $88 million in long positions were liquidated over 24 hours. This XRP long liquidation contributed to more than $700 million in crypto liquidations, with 85% hitting long traders across the market.
After the crash, XRP trades between $3.00 and $3.10, sitting near key support zones. Technical indicators show elevated volatility: the RSI fell from 88 to 68, and the MACD nears a bearish crossover. Failure to clear the $3.40–$3.66 range could lead to a deeper drop toward $2.80.
Institutional use of the XRP Ledger offers some offset. Brazil’s VERT Capital plans to tokenize agribusiness debt on XRPL, underlining growing real-world adoption. This historic XRP long liquidation underlines the dangers of excessive leverage and the importance of robust risk management in volatile markets.
Bearish
Mass liquidations of overleveraged long positions typically trigger bearish momentum, as seen during previous crypto flash crashes. The $82.5 million XRP long liquidation wiped out significant buying pressure and sparked broader market sell-offs, indicating short-term downside. Technical indicators like the RSI drop and MACD bearish crossover suggest further volatility. While institutional XRPL adoption may support mid-term stability, traders are likely to remain cautious. History shows that such large-scale flushes often precede consolidation phases rather than immediate rebounds. Overall, the event reinforces a negative outlook for XRP in the near term.