XRP liquidation flipped dramatically against short sellers as a sudden price surge pushed XRP above $3, triggering roughly $5 million in one-hour liquidations—about $4.44M wiped from shorts versus $595k from longs, a 7,457.83% imbalance that favored XRP bulls and reversed intraday bearish sentiment.
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XRP liquidation imbalance: $4.44M shorts vs $595k longs
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Price action: XRP rebounded from an intraday low near $2.80 to trade above $3.00
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One-hour liquidations totaled ~ $5 million (source: Coinglass, plain text)
Meta description: XRP liquidation flips against bears as XRP rebounds above $3; $5M in one-hour liquidations hit shorts hardest—read for data, context, and next steps.
What caused the XRP liquidation flip against bears?
XRP liquidation flipped when a rapid price reversal pushed XRP above $3, triggering concentrated liquidations of short positions. Data from Coinglass in the one-hour window shows roughly $5 million liquidated, with short traders bearing the majority of losses and the market sentiment shifting bullish.
How large were the short vs long liquidations?
Short traders suffered approximately $4.44 million in liquidations, while long positions accounted for about $595,000. That created a liquidation imbalance of roughly 7,457.83% in favor of bulls in a single hour, according to Coinglass plain-text data reported on August 22.
| Position | Liquidated Value (USD) |
|---|---|
| Shorts | $4,440,000 |
| Longs | $595,000 |
| Total | $5,035,000 |
How did XRP price react after the liquidation event?
Following the liquidation event, XRP rebounds above $3, trading between an intraday low of $2.798 and a high near $3.05 on August 22. The move produced a daily gain exceeding 5% despite early-session declines and increased volatility across major crypto markets.
Why does this matter for traders and investors?
Large, one-sided liquidations often amplify short-term momentum and can force rapid position shifts. The size of the short-side wipeout restored bullish confidence and renewed discussions about higher targets, while also increasing short-term volatility and risk for leveraged traders.
Frequently Asked Questions
How often do XRP liquidation spikes occur?
Liquidation spikes occur during sudden price swings and can be frequent in volatile sessions. Frequency varies with market events, macro news, and liquidity; historically, these spikes cluster around major market moves.
What should traders do after a large liquidation event?
Traders should reassess risk, avoid increasing leverage immediately, and review order placement around key support/resistance. Consider waiting for confirmation of trend continuation before opening new leveraged positions.
Key Takeaways
- Massive one-hour liquidations: Roughly $5M total, dominated by $4.44M in short liquidations.
- Price reaction: XRP reclaimed $3.00, trading up to $3.05 and posting a daily gain above 5%.
- Market impact: The imbalance shifted sentiment to bullish but increased short-term volatility; traders should manage leverage.
Conclusion
The XRP liquidation flip on August 22 demonstrates how concentrated forced liquidations can rapidly reverse market sentiment. With short traders taking the brunt of losses and XRP rebounding above $3, the event highlights the need for disciplined risk management. COINOTAG will monitor developments and report updates as new data emerges.
