XRP Leads Losses Among Major Tokens
In just 24 hours, XRP lost more than 16% of its value. During intense selling, the token dropped to around $1.29. It marked the weakest performance among major cryptocurrencies.
During the same session, Bitcoin declined roughly 7%. Ether and other large tokens posted smaller percentage losses. As a result, XRP underperformed its peers.
Derivatives Liquidations Accelerate The Drop
Coinglass reported approximately $46 million in XRP liquidations. Nearly $43 million came from bullish leveraged positions. Forced selling significantly amplified downward pressure.
The decline extended beyond spot market exits. As support levels broke, leveraged traders were wiped out. Automated liquidations increased volatility late in the session.
Technical Breakdown Changes Support to Resistance
XRP decisively broke below the key $1.44 level. Former support has now turned into overhead resistance. Following the breakdown, the market structure shifted bearish.
There has been limited historical trading below current levels. The next psychological magnet appears near $1.00. Traders often focus on round numbers during high volatility.
Recommended Article: Why XRP Price Is Falling Today As Bears Target $1.25
Momentum Overrides Positive Developments
Recent announcements suggested improving fundamentals for XRP. Flare and Hex Trust enabled institutions to mint FXRP. The structure allows participation in DeFi without direct token sales.
Despite constructive news, sentiment remained overwhelmingly negative. Traders did not interpret developments as immediate demand catalysts. Price action reflected momentum rather than adoption narratives.
Ripple Expands Institutional Infrastructure
Ripple recently secured e-money licenses in Luxembourg. It also integrated Hyperliquid into the Ripple Prime platform. Clients gained access to on-chain perpetual liquidity solutions.
Such steps typically strengthen long-term token appeal. However, they failed to offset short-term selling pressure. Market participants prioritized positioning over structural improvements.
Leverage Unwind Drives Near-Term Volatility
Charts indicated gradual weakening before a sharp breakdown. Buyers repeatedly stepped aside before final stops triggered. This pattern often signals leverage-driven market stress.
Analysts described the move as a leverage unwind cycle. Once technical thresholds failed, prices accelerated downward. Short-term positioning overshadowed strategic fundamentals.
Psychological Levels Now Dominate Focus
Traders are closely monitoring the $1.00 level. Limited historical activity exists between current prices and that threshold. Broader crypto weakness continues to weigh on sentiment.
Volatility may persist until liquidation pressures subside. Capital flows and positioning remain dominant drivers. During intense deleveraging, fundamentals typically take a back seat.
