XRP, the fourth-largest cryptocurrency by market cap, is heating up as traders go all in, betting on a major price surge. Over 70% of Binance traders are holding long positions, showing strong confidence in XRP’s future. Crypto analyst Ali Martinez highlights that if XRP stays above $2, it could gain momentum and soar 30% to $2.60.
But with so many traders piling into long positions, could a sudden price swing shake things up?
70% Traders Going Bullish on XRP’s Future
According to the data shared by Martinez, 4-hour XRP’s long/short ratio has reached 2.37, meaning that traders betting on price increases significantly outnumber those expecting declines.
Typically, a higher long/short ratio suggests that investors expect the price to rise. However, it can also indicate an overcrowded trade, which sometimes leads to sudden price swings if sentiment shifts unexpectedly.
Further, Martinez revealed that 70.33% of accounts were holding long positions, while only 29.67% were shorting the asset. This marks a strong tilt towards optimism among XRP traders.
Should Traders Be Cautious?
While the bullish sentiment is strong, traders should remain cautious. A high long/short ratio often increases the risk of liquidations, especially if the price moves against the majority.
According to Coinglass, XRP saw $3.1 million in liquidations in the past 24 hours. Long traders, who expected the price to rise, lost $1.73 million, while short traders, who bet on a price drop, lost $1.36 million.
If XRP’s price dips suddenly, leveraged long positions could be forced to close, leading to further declines.
XRP Aims for a 30% Surge
Further, Martinez suggests that the XRP price is showing strong signs of a potential rally. As per the Martinez 4-hour XRP price chart analysis, XRP is trying to break out of its current consolidation phase.
If the price stays above $2, it may attract more buyers, increasing momentum and pushing XRP toward its next major resistance at $2.60—a potential 30% jump from current levels.
Right now, XRP is trading around $2.09, down 2% in the last 24 hours, with a market cap of $121.8 billion.
