Alert: XRP Liquidation Just Hit 10-Month High Amid Price Reversal – What’s Happening?

In Brief:

• XRP long liquidations reached $38.58 million, marking a ten-month high as leveraged bullish positions dominated losses across exchanges during price volatility.
• Binance recorded a nine-to-one long imbalance, reversing October’s structure while short liquidations dropped significantly compared with the previous liquidation event.
• XRP rebounded near $1.518, but sustainable recovery requires stronger spot demand, controlled leverage, and resilient buyer support across exchanges.

XRP long liquidations reached $38.58 million on August 22, marking its highest level in ten months. According to CryptoQuant analyst Amr Taha, the figure nearly matched the major liquidation event recorded on October 10, 2025.

Long liquidations during that October event reached $39.3 million, only $720,000 above the latest reading. Therefore, the August figure came within 1.8% of XRP’s previous liquidation peak.

Short liquidations reached only $6.5 million, bringing combined losses across tracked exchanges to $45.08 million. Consequently, long positions represented 85.6% of all liquidations and exceeded short losses by nearly six times.

This imbalance shows that leveraged traders had positioned heavily for further gains before XRP reversed direction. Exchanges automatically closed those positions when falling prices reduced traders’ collateral below required margin levels.

Those closures added selling pressure and amplified volatility as the market removed heavily exposed bullish traders. However, the latest event produced fewer combined liquidations than the October 2025 market disruption.

October recorded $24.8 million in short liquidations alongside $39.3 million in long losses. Combined liquidations reached $64.1 million, approximately 30% above the August total. The difference came mainly from short liquidations, which dropped by about 74% between the two events.

Also Read: Why XRP Price Is Down Today After Soaring 45% in One Week

Binance Records Nine-to-One Imbalance During XRP Price Reversal

Binance displayed the strongest concentration of bullish exposure during XRP’s latest price reversal. Long liquidations on the exchange reached $12.63 million, while short liquidations totaled only $1.4 million.

That created a nine-to-one imbalance, with longs accounting for approximately 90% of Binance’s XRP liquidations. Significantly, the exchange recorded an opposite structure during the October 2025 liquidation event.

Binance short liquidations then reached $21.1 million, more than double the $9.82 million recorded among long positions. Compared with October, Binance long liquidations increased by 28.6%, while short liquidations declined by 93.4%.

Source: CryptoQuant

This reversal indicates that traders shifted from heavily bearish exposure toward aggressive bullish positioning. Moreover, the imbalance extended across other exchanges and was not limited to activity on Binance.

Excluding Binance, long liquidations reached approximately $25.95 million, compared with $5.1 million in short losses. Other platforms therefore produced another five-to-one imbalance between bullish and bearish liquidations.

XRP Recovery Depends on Spot Demand and Controlled Leverage

The CryptoQuant chart places the August spike among XRP’s largest long-liquidation readings since September 2024. It also shows substantial price volatility surrounding the event as XRP moved through its recent market recovery.

Near the chart’s latest point, XRP rebounded toward approximately $1.518 following the liquidation surge. The recovery suggests buyers absorbed some forced selling once exchanges removed vulnerable leveraged positions.

Nevertheless, large long liquidations do not independently confirm that XRP has established lasting bullish momentum. A liquidation reset can reduce immediate selling risks, but excessive leverage could rebuild during another price advance.

Additionally, strong spot buying would provide more reliable support than renewed demand driven mainly by leveraged positions. XRP’s ten-month liquidation high ultimately revealed crowded bullish positioning during a sudden price reversal.

Also Read: XRP Bear Market Nearing Its End? Analyst Reveals the Key Level That Could Decide It