The Ripple (XRP) price fell from a daily summit of $ 2.24 to $ 2.13 on May 1st and experienced certain fluctuations by declining to daily bottom. This decline emerged due to developments in the failure of the US -based USDC rap Circle’s attempt to take over. The price decrease led to liquidation imbalance by liquidating investors with open long positions. Following these developments, the price, which went below significant liquidation levels, was evaluated in the case of the possibility of XRP to enter a trend of rise towards $ 3.
Trade volume and liquidation situations
According to CoinMarketcap data, the current value of XRP is reported to be $ 2.23. The transaction volume has recently increased by 19 %and reached $ 3.42 billion. Altcoin, which has started to recover above the $ 2.20 support level, is carefully monitored by investors. The liquidations in long positions led to an increase in sales pressure in the market; This gave signals of excessive liquidation.
Technical Analysis and Investor Expectations
According to technical analysis reports, the XRP is experiencing a consolidation process in a narrow transaction range. In the graph, resistance tests from the falling trend line on the top indicate that the breaking potential above $ 2.33 increases the price up to $ 2.61. This can prepare the ground for positive expectations for a $ 3 target. However, if the price decreases below $ 2.15, the risks of liquidation wave to be triggered by high leveraged transactions may be raised.
Analyst Alt4F said that the increase in long position liquidation supports the expectations of rise in the XRP price.
The liquidation heat map data shows that there is an intensive liquidation zone at the level of $ 2.34 above the price. When this level is exceeded, the liquidations in short positions may lead to an increase in procurement pressure. Market participants think that a movement over $ 2.30 can trigger a wider rise trend from the narrow transaction range.
The RSI indicator in the graph is at 55; This value is interpreted as the marker of the current rise momentum. At the same time, while the on-lanish volume (OBV) data gives supportive signals, short-term fluctuation is warned that investors may pose a risk for investors.
Analysts say that XRP is in the process of consolidation at critical price levels and that the break that may be experienced in the near future should be closely monitored by investors. Due to the high leverage use of the market, small bottoms may lead to large liquidation.
Investors, technical indicators and liquidation data carefully follows, suggesting that they should evaluate the possible breaking points. The fact that the price remains in a narrow range once again reveals the importance of risk management.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
