The post XRP Price If Crypto Markets Suffer Another $1 Billion Liquidation Event Before Bull Run? appeared on BitcoinEthereumNews.com.

XRP price has been trending sideways for the past week, which is worrying for investors as this consolidation is part of a bearish continuation pattern. Despite the drop, XRP is still up 3.8% over the last 7 days, a small recovery from the steep fall the asset experienced at the start of October. Since November 2022, the crypto market has experienced several critical liquidation events. In March 2023, a $500 million liquidation led to a sharp fall in prices, while another $700 million liquidation in July 2023 caused further market uncertainty. Given these liquidation events in 2023 and 2024, is another liquidation event brewing for crypto? Crypto analyst Cole Garner predicts that a bull run is about to come because a common pre-requisite just appeared. According to Garner, when liquidity on-chain starts tightening, it signals that capitulation is near, and this, he notes, is the pre-requisite for a full-blown bull run. How Crypto Market Sentiment And Historical Data Could Impact XRP Price The crypto market has seen multiple liquidation events for the past two years, with significant sell-offs occurring in various months. In November 2022, a liquidation event crash wiped $300 million off the crypto market cap, reducing it by 27% in two days, from $1.035 trillion to $735 billion. Similarly, and most recently, the August 5 crash recorded over $1 billion in liquidations, while September 6 saw $295 million whipped off the market. These crashes constituted a 30% and 11% drop, respectively, which resulted in the devastation of altcoins. Additionally, the 2024 bull cycle resembles the 2016 bull run, in which there was a 35% market crash in August, which also marked the beginning of the last phase of the bull market. This could be what Garner refers to as liquidity-tightening. It could trigger a broader market sell-off, impacting…

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Filed under: News - @ October 10, 2024 6:25 pm