XRP’s $55M Leverage Gambit: Will It Save $2.50 or Sink Deeper? 🚀📉

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Ripple 📉XRP$2.8124h volatility:2.9%Market cap:$168.11 BVol. 24h:$5.46 B price tumbled 3%, trading as low as $2.78 on October 9, mirroring the broader market downturn as Bitcoin’s pullback from all-time highs sparked cascading liquidations. The correction dragged XRP below the $3 psychological support, but trading data from derivatives exchanges indicates that bulls are aggressively covering positions to prevent deeper losses. 🤝💸

Ripple (XRP) Liquidation Map as of October 9, 2025 | Source: Coinglass

According to Coinglass’ Liquidation map, which tracks active leverage positions deployed at key price levels, short traders dominated XRP activity on Thursday, with $146 million in open short contracts compared to $95 million in longs. However, around $55 million in leveraged long contracts are clustered near $2.7, accounting for 58% of all active bullish leverage. Such a large leverage cluster signals intent to defend key price levels below it. 🧠📉

Total Crypto market liquidation, Oct 9, 2025 | Source: Coinglass

Aggregate market flows also emphasize XRP relative resilience. Market-wide liquidations topped $679 million, with Bitcoin 📉BTC$121 59824h volatility:1.4%Market cap:$2.42 TVol. 24h:$70.53 B and Ethereum 📈ETH$4 37624h volatility:3.4%Market cap:$527.24 BVol. 24h:$43.17 B bulls taking the biggest losses with $188 million and $181 million in liquidated long contracts respectively. 🤯

Despite being the fifth largest cryptocurrency by market cap, XRP bulls lost only $17 million in the last 24 hours, while lower cap assets like Dogecoin 🚀DOGE$0.2524h volatility:3.2%Market cap:$37.72 BVol. 24h:$2.96 B and Plasma (XPL) saw larger losses. This reflects XRP traders opting to cover their positions on Thursday, rather than keeping up with the pace of the broader market sell-off. 🕵️‍♂️

Ripple’s current price setup reflects a developing double-bottom formation between $2.6 and $2.8, often interpreted as a bullish reversal pattern. The neckline sits around $3.1, which also aligns with the mid-line of the Bollinger Bands (BB) and the 20-day simple moving average (SMA). 📊

A decisive breakout above this level would validate the double-bottom signal and potentially trigger an upside continuation toward the projected bullish XRP price target at $3.6. 🚀

Ripple (XRP) Price Forecast | TradingView

Momentum indicators also provide a cautiously bullish backdrop. The Relative Strength Index (RSI) currently hovers at 41, suggesting near-oversold conditions. This positioning typically favors a short-term bounce, particularly when coupled with compression on Bollinger Bands signaling potential volatility expansion. 🌀

If bullish leverage around $2.7 continues to hold, XRP may rebound toward $3.1 in the near-term, followed by a breakout attempt toward $3.6. 📈

Conversely, failure to sustain the $2.7 support could invalidate the pattern, raising the risk of a breakdown toward the lower Bollinger Band at $2.50. 🧨

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2025-10-10 03:05