The post XRP’s volatility exposed – Why NOW might be the time to buy the dip! appeared on BitcoinEthereumNews.com.

XRP is in a high-stakes tug-of-war, setting up a potential short squeeze If it materializes, FOMO could fuel a surge of new investors flocking to XRP as BTC consolidates XRP seems to be losing its grip. Despite its real-world use cases, FOMO-driven rallies, and whales buying the dip, the token has dropped by 8% over the past week, entering a sharper decline on the charts.  On the bright side, XRP Ledger activity is up, with network velocity highlighting a sharp uptick. Will this spark a comeback though? Or is a deeper pullback looming on the horizon? With the broader market under strain, caution might be key. Disclosing the volatility in the derivatives market The “Trump pump” pushed XRP to nearly $3 – Its highest point in three years – sparking a frenzy among Futures traders. In fact, the Open Interest (OI) surged to a record $4.29 billion as investors piled in, betting on further price gains. Source : Coinglass However, the market quickly flipped, leaving the market’s bulls scrambling. Long positions were wiped out in a brutal long squeeze and now, the OI has crashed to $1.97 billion – A staggering 54% drop in less than a month. In just 24 hours, $2.66 million in long positions were liquidated out of a total $2.93 million.  The trend is clear – Shorts are taking over. As the delta shifts into the red, short sellers are betting heavily on further declines, pushing XRP deeper into its downward spiral. So, with the bears firmly in charge, the outlook for XRP looks increasingly bleak, at least in the short-term. There is a silver lining for XRP Unlike other top altcoins that have seen their post-election gains vanish, XRP still holds a solid base of investors in profit. The recent break of two key levels…

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Filed under: News - @ December 28, 2024 11:06 pm