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The recovery in the digital currency ecosystem took a minor twist as most buyers cooled off, which has triggered mild liquidations for altcoins like Dogecoin (DOGE) and XRP. At the time of writing, CoinGlass data shows that Dogecoin currently has a bigger liquidation figure than XRP, a sign of over-leverage for the meme coin.
Dogecoin and XRP liquidation outlook
The CoinGlass data shows that DOGE has a total liquidation of $7.67 million, with XRP’s liquidation at $5.22 million. Historically, Dogecoin liquidations are not uncommon, as the meme coin’s volatility generally offsets long and short traders.
Godfrey BenjaminHowever, with these latest figures, short traders suffered the most upset, with $4.76 million of total liquidations. The long traders then accounted for only $2.90 million over 24 hours.
In contrast to the Dogecoin outlook, XRP’s long traders suffered more, with $3.76 million recorded in liquidations within the same period. Short traders accounted for $1.46 million of the total recorded liquidations.
Crucial ecosystem updates this month have set DOGE and XRP apart for traders to bet big on them. As reported earlier this week, the House of Doge stacked 10 million Dogecoin to create a strategic reserve around the coin.
XRP still has bigger fundamentals
Meanwhile, the XRP ecosystem has more fundamental updates to help revive prices in the long term. According to recent reports, the U.S. Securities and Exchange Commission (SEC) has officially closed its case against Ripple Labs Inc., so XRP is no longer classified as a security.
Gamza KhanzadaevThis will allow the coin to enter institutional investors' portfolios through direct purchases or XRP ETF offerings. It will also directly influence its price from its current level.
As of press time, XRP was changing hands for $2.433, down by 0.92%, while Dogecoin has recorded a more bullish push, jumping 4.95% to $0.1847.
Vladislav Sopov
Dan Burgin