The XRP derivatives market witnessed a significant flush of leveraged positions, catching bullish traders off guard. According to CoinGlass, total liquidations over the past 24 hours hit $9.93 million, with a staggering $9.60 million coming from longs while shorts lost only $330,620. This created an extreme imbalance of nearly 29-to-1, or a 2,809% excess on the long side.
The event was triggered by a mild 2.2% dip in XRP's price from around $1.037 to a local low of $1.014 amid broader market negativity that saw over $199 million in total crypto liquidations. For overleveraged bulls, this modest decline set off a cascade of margin calls and forced closures, amplifying the downward pressure.
However, the dip was swiftly bought up as large investors stepped in to absorb the liquidated coins, driving a V-shaped recovery back toward $1.040. By evening, a second wave of profit-taking corrected the price to $1.0307. The incident highlights a classic liquidity grab, clearing speculative excess and potentially creating a healthier price structure if bulls can defend the psychological $1.03 level.
