24.2 Million XRP in 24 Hours, What’s Happening?

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As a seasoned crypto investor with battle-hardened nerves and a portfolio that mirrors the rollercoaster ride of a theme park, I can’t help but feel a sense of deja vu amidst the current XRP liquidations. The market downturn has become as predictable as the sunrise, yet just as exhilarating.

During this market slump, Ripple‘s cryptocurrency, XRP, is one of the affected top cryptos with many traders experiencing forced sales (liquidations). According to CoinGlass, approximately 24.2 million XRP traders have encountered such situations, sparking curiosity about the state of this digital asset.

XRP’s exodus from exchanges

In the last 24 hours, the value of XRP being liquidated was roughly around $11.4 million, as indicated by the data.

Long-position holders collectively sold digital assets worth $10.21 million, while those with short positions sold $1.2 million. This suggests that the quantity of long positions was significantly greater than the number of short positions, indicating a rapid decline in prices, which forced traders to offload their assets.

Simultaneously, the total market liquidations surpassed $1 billion, with a significant portion coming from the widely-used Binance platform. The leading cryptocurrencies Bitcoin (BTC) and Ethereum (ETH) accounted for liquidations valued at $387.27 million and $358.32 million respectively. Moreover, alternative coins such as Cardano (ADA) and Solana (SOL) also recorded liquidations of approximately $4.2 million and $62.35 million each.

Current state of XRP 

For some time now, XRP has been moving sideways, erasing the progress made in more than two weeks. As I write this, XRP has dropped 18.05% on a daily basis, with its value at approximately $0.488. Yet, the trading volume saw a significant jump of 213.9%, reaching $3.2 billion, hinting at growing investor enthusiasm.

As an analyst, I’ve observed a significant decline in my XRP holdings’ value, which aligns with anticipation surrounding the resolution of the ongoing Ripple vs. SEC legal battle.

In a previous article, U.Today reported that a private discussion between the involved parties had been abruptly called off, leading to a pause in the case. This has left the community pondering potential impacts on XRP‘s upcoming path.

Additionally, the liquidations occur alongside the disbursement of 500 million XRP from the escrow fund. Ripple regularly carries out scheduled releases of XRP from the escrow to maintain sufficient market liquidity for the cryptocurrency.

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2024-08-05 16:10