XRP Tumbles 7%, Wiping Out $70M in Bullish Bets as Ripple-Linked Token Feels Market Heat
XRP faced intense selling pressure on Thursday, plummeting roughly 7% amid a wave of long position liquidations that erased an estimated $70 million from bullish bets. The decline mirrored broader weakness across digital assets, dragging the Ripple-affiliated token below a crucial technical support level before a tentative stabilization emerged near the $1.74 mark.
Analysts point to a confluence of factors behind the move, including renewed regulatory uncertainty surrounding the sector and a risk-off sentiment in traditional markets spilling over into crypto. The $1.79 to $1.82 zone, once a support pillar, has now flipped into a key resistance barrier that bulls must reclaim to signal any potential recovery momentum.
"This wasn't just an XRP-specific event," said market strategist Eleanor Vance of Meridian Capital. "We're seeing correlated deleveraging. The $1.74 level held for now, but the real test is whether it can sustain through the weekly close. The market is repricing risk across the board."
The sharp drop triggered over $70 million in long liquidations within 24 hours, according to data from Coinglass, highlighting the leveraged nature of the recent rally and its vulnerability to sudden reversals.
Community Voices React
Marcus Chen, Crypto Portfolio Manager: "A healthy pullback in context. The broader uptrend isn't invalidated. This shakes out weak leverage and establishes a clearer support zone before the next leg. I'm watching for accumulation near these levels."
David "CryptoHawk" Finch, Independent Trader: "Pathetic. This is why you don't trust these 'legal clarity' narratives. Ripple gets a partial win in court and everyone acts like it's a moon ticket. The second the market sneezes, XRP gets pneumonia. It's a trader's coin, not an investment."
Priya Sharma, Blockchain Developer: "The price action is noisy short-term. My focus remains on utility growth. If Ripple's ODL corridors see increased adoption, that's the fundamental that will matter over quarters, not days."
Professor Arthur Klein, Financial Technology Lecturer: "This volatility underscores the asset's continued sensitivity to both crypto market beta and its own unique regulatory overhang. Until institutional adoption via ETFs or similar vehicles emerges, such dislocations will remain common."