XRP has suspended its recent correction, and the recent liquidation event has continued to favor its bullish traders as the price continues to increase amid the broad crypto market resurgence.
After multiple days of weak market conditions, XRP is attempting another price rebound, causing its long traders to go mute in its last hourly liquidation event.
Amid the sudden shift in market sentiment, XRP has seen a mild liquidation trend with an unusual $0 twist that suggests traders are more confident about a continued upsurge in its price. This abnormality witnessed during the last hourly liquidation has attracted the attention of market watchers.
XRP bears suffer all liquidation
Notably, the sudden crypto market resurgence witnessed in the last day has spurred unusual activity in the XRP derivatives market on Saturday, Dec. 20.
According to data from CoinGlass, a total of $1,250,000 in liquidations has been recorded in the last hour, with long traders bearing none of it.
This zero activity from traders who are supposed to bet for its continued upsurge has seen the leading altcoin register an unusual one-sided liquidation of 1,250,000% against short traders, signaling increased confidence in XRP’s potential surge.
Usually, abnormal liquidation events like this when XRP long traders face little to no liquidations often happen during times of uncertainty as futures traders are taking caution due to prolonged unstable market conditions.
This could also mean that the asset had only moved in one position during the liquidation session, hence only short positions opened against XRP’s potential upsurge were affected, fueling bullish momentum for the asset.
What's next for XRP?
Unlike its previous short-term price bounce, it appears that the ongoing resurgence in XRP’s price may linger for longer as the asset has continued to surge higher since it returned to the bullish trajectory yesterday.
After sliding as low as $1.8 on Dec. 18, XRP’s rapid price surge has seen it reclaim $1.95 earlier today, suggesting it may be headed for a big price rebound. Strong inflows from the XRP ETF providers have also contributed to its bullish resurgence.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team