The XRP price has slipped below $2.5 amid massive whale selloffs and liquidation imbalance.
But a veteran analyst and trader has turned bullish on XRP days after giving a short bearish outlook for the cryptocurrency.
Whale selling pressures markets
Large wallets unloaded a torrent of XRP over the past week. On-chain analysis shows roughly 2.23 billion XRP have moved out of whale balances since Friday, pushing holdings from about 9.5 billion to roughly 7.3 billion tokens.
Notably, a single transfer of 23.9 million XRP — roughly $63 million — landed on Binance and coincided with sharp selling pressure. That inflow signaled short-term distribution and helped erase earlier gains.
Traders say the dump fed into broader downside momentum. Prices fell from near $2.90 toward the $2.50 area as buyers struggled to absorb supply.
Liquidations and leverage tilt the scales
Derivatives desks reported a brutal liquidation event. In a recent four-hour window, $8.13 million in positions were liquidated.
Longs bore the brunt of the cleanout. CoinGlass data show $7.34 million of long positions wiped out versus $785,000 in short liquidations, a 935% imbalance that amplified selling pressure.
Open interest also ticked higher. It rose about 2.4% to $1.36 billion, indicating that leverage remains elevated and that a further unwind could intensify moves.
XRP price action and volume paint a cautious picture
XRP currently trades in a tight band between $2.54 and $2.66. Notably, the intraday peak at $2.66 met aggressive profit-taking and led to drop to $2.55 at press time.
The trading volume also paints a mixed picture. A blistering spike to 244.6 million contracts at one point — nearly three times the 91.8 million average — confirmed institutional dip-buying near $2.55, but the 24-hour trading volume later fell about 16.09% to roughly $8.46 billion as momentum faded.
Peter Brandt sees a long-term bullish structure
Veteran trader Peter Brandt has shifted to a more bullish long-term view on XRP. He pointed to a multi-year triangle and a breakout that began in November 2024, followed by consolidation inside a parallel channel that could set the stage for another leg up if momentum returns.
Brandt’s weekly chart suggests that XRP’s pattern of long consolidations followed by explosive rallies remains intact, and he flagged a sustained weekly close above $3 as a key confirmation for renewed strength.
He also highlighted broader structural supports. According to his analysis, the rising trendline that stretches from roughly $0.80 to $1.50 forms the backbone of the bullish thesis and helps define risk for longer-term holders.
What traders should look out for
For short-term traders, the $2.55 support and the $2.65–$2.66 resistance are the immediate price levels to watch. If sellers reclaim momentum, the $2.30–$2.40 zone is a likely next stop.
Traders should also track Binance inflows as a signal of distribution versus rotation. Elevated open interest leaves the market vulnerable to fresh squeezes in either direction.
Finally, it is also important to keep an eye on the technical indicators, which currently remain subdued. The ADX sits around the low-20s, implying a developing but not yet dominant trend, and XRP still trades below its 200-day moving average near $2.63, which keeps bulls on alert.