The bulls have kept going to the surface in the market, and XRP bulls in particular were recently in the spotlight when $1.27 million was liquidated from their long positions. This 6,350% spike in long-term liquidations is likely due to XRP’s recent price actionwhich highlights the general sentiment in its ecosystem.
$1.27 million of longs are liquidated
Facts Coinglass shows that there were $1.27 million in long positions liquidated in the last 24 hours. This is huge compared to the $19,220 liquidated in short positions during this period. This occurrence was likely due to the 3.85% drop in the price of XRP as the crypto token fell to $0.51 in the last 24 hours.
XRP’s price drop during this period is believed to have been caused by the sharp correction in Bitcoin’s price, which saw the flagship crypto decline back under $62,000. However, there also appears to be bearish sentiment in the XRP ecosystem as data in the XRP derivatives market shows that trading volume has fallen by more than 26%.
Meanwhile, options trading volume has also fallen by more than 46%. These numbers suggest that XRP investors are choosing to stay on the sidelines as the bears appear to have the upper hand at the moment. The bright spot, however, is that there is a revival open interestmeaning some bulls are still willing to bet on the crypto token.
These bulls may have a good reason to bet on the crypto token as crypto analysts are predicting significant moves for XRP. Specifically, crypto analyst Jonathan Carter recently predicted that XRP could rise to $0.93 and further to $1.68. There is also a sense that a rally is long overdue for XRP and that it could happen anytime soon.
When the XRP rally could come
An XRP rally could be on the horizon with the legal battle between the Securities and Exchange Commission (SEC) and Ripple almost at an end, with a statement expected soon enough. Crypto analyst JackTheRippler predicted that the crypto token could rise to $100 once this case ends.
While this price level is undoubtedly ambitious, XRP could still make a significant move upward as it was also on an upward trend due to Ruling by Judge Analisa Torres that the crypto token was not a security.
At the time of writing, XRP is trading around $0.51, down in the past 24 hours. facts from CoinMarketCap.
Token price drops to $0.5 | Source: XRPUSDT on Tradingview.com
Featured image from Coinpedia, chart from Tradingview.com