XRP Tumbles Amid Market Slump, $90M Liquidated

XRP, Ripple’s native cryptocurrency, experienced a significant drop over the last several hours, spiraling more than 11% down in value following an impressive breakout rally. This rapid downturn has caused major losses for leveraged traders, with long positions worth over $90 million wiped out.

After a strong performance through the past week, XRP had been riding a wave of bullish momentum, briefly surpassing the $3.60 mark and achieving a new all-time high. The rally was notable, propelling the token beyond the psychological barrier of its January 2018 high of $3.40, and pushing its market capitalization past the $200 billion threshold. However, that bullish streak has now encountered a sharp correction.

Just days after surging beyond previous resistance levels, XRP began trading sideways between its earlier and most recent peaks. Market enthusiasm appeared to stall—especially in the last 12 hours—as bearish pressure intensified. The result was a steep drop from nearly $3.60 to just below $3.05, cutting approximately 15% off its value in mere hours. Although a mild recovery followed, the token’s daily performance still remains deeply in the negative.

This swing has been particularly painful for traders who had bet heavily on XRP continuing its upward trajectory. According to data from CoinGlass, XRP long positions suffered liquidations totaling over $93 million in a single day. This figure exceeds the amount lost in Bitcoin (approximately $70 million) and ranks beneath only Ethereum in terms of daily derivatives losses.

Ripple’s rapid descent underscores how quickly crypto markets can reverse, especially after prolonged rallies. Speculators who entered during the upswing faced harsh consequences as overleveraged bets unraveled with little warning. The volatility emphasizes the inherent risks in trading derivative products based on digital assets, particularly during periods of heightened price action.

Just last week, XRP had broken past its long-term consolidation between $2.20 and $2.30, where it spent roughly a month trading in a relatively narrow range. Once it broke free from that zone, buyer demand surged, driving the coin above the $3 mark within days. That bullish formation built up intense optimism among investors, many expecting higher highs based on Ripple’s upward momentum and historical significance.

However, what seemed like unstoppable upward movement quickly gave way to market fatigue and bearish resistance. Whether triggered by macroeconomic news, shifts in investor sentiment, or exhaustion in buying pressure, the result was an undeniably sharp pullback.

As altcoins across the board retreat, XRP stands out due to both the magnitude of its drawdown and the volume of trader losses it caused. It remains one of the highest performers in recent weeks despite today’s correction, and how it behaves in the coming sessions will be watched closely by retail and institutional players alike.

Meanwhile, the broader crypto market has also come under pressure, with other leading assets declining in tandem. Still, XRP’s steep decline—and the collateral damage it caused in the derivatives market—makes it a focal point in today’s market volatility.

Related: XRP Price: $12M Max Pain for Bears

Traders and holders are now watching whether XRP can reclaim support levels quickly or if further downward pressure will intensify short-term bearish sentiment. The coming days may offer insight into whether this dip is merely a healthy retracement in a larger uptrend or the start of a more extended correction cycle.