XRP Price Rebound May Cause $400 Million in Liquidations | Airdrop Alert Pro

XRP has been trying to recover from a 25% drop of 25%, and its price has dropped from $3.00 to $2.33. While investors will rebound soon, the road to recovery may take some time.

Such delays can also lead to potential losses for traders trapped in ongoing market volatility.

XRP traders may face potential liquidation

Clearing chart XRP reveals a related Short seller scene. Between the current price and $2.70, about $400 million in short contracts are placed on the contract. A large number of short-term positions show that traders are betting on price movements in XRP, reflecting major skepticism in the market.

A price increase of only 10% may lead to liquidation of these short positions, which may lead to a rapid price transfer. However, the large number of short contracts highlight the overall caution in the market, which may delay recovery or further volatility If the price fails to violate the critical resistance level.

Macrodynamic XRP still dominates By bearish signals, the average direction index (ADX) is at 35.0, which is well above the 25.0 threshold. This shows that even after the recent 25% price crash, the strength of the downtrend remains intact. ADX reflects ongoing momentum in the market, indicating that XRP is under pressure despite attempts to recover.

If ADX rises further, it means that the bearish trend is still strong and may XRP recovery effort. As long as ADX remains high, it may limit the effectiveness of any upward price transfer and delay when resuming previous levels.

XRP Price Forecast: Waiting for Violations

Now, Price of XRP Priced at $2.47, just 10% from the next major resistance, and the price is $2.70. AltCoin is moving in the above wedge mode, which indicates that the next step may rise. If XRP manages to break through the $2.70 resistance, further gains can be seen.

However, the above mentioned factors suggest that this rise may face significant resistance. XRP may struggle to violate the $2.70 barrier, or it may be closer to the $2.33 support level if sales pressure prevails. In this case, the price may be consolidated within a tight range or may undergo further reduction.

If bullish market clues start to overwhelm the common put options, XRP can succeed Violation of $2.70 resistor. A breakout above this level will turn it into support, potentially invalidating the bearish outlook and laying the foundation for a more sustainable recovery in the coming days.