After an impressive price reversal, the cryptography market seems to face a drop in various cryptocurrencies. In the middle of this, XRP, the native token of Ripple Labs, draws significant attention from crypto enthusiasts despite the drop in continuous prices, as reported by the Coiginglass chain analysis company.
The growing bets of binance traders on long positions
The long / short / short ratio of the Metric Binance Xrpusdt is currently 2.80, indicating a strong bullish feeling among the merchants. However, this metric also reveals that for each 2.80 long positions, there is only one short position.
In addition, the data also shows that at the time of the press, 73.6% of the best XRP traders on the Binance hold long positions, while 26.4% hold short positions.
Current price momen
However, all this interest in Binance merchants comes while XRP is struggling to take momentum. The assets are currently negotiating nearly $ 2.50 and has dropped by prices of more than 6.50% in the last 24 hours.
Due to this market uncertainty, the participation of traders and investors has dropped, resulting in a 65% drop in its volume of negotiation.
XRP price action and key levels
With this notable price decrease, XRP seems to fail to hold its crucial level of support of $ 2.60, which it achieved during the significant price reversal.
Based on the recent price action and the historic momentum, if XRP does not bounce back and closes a daily candle below $ 2.50, there is a strong possibility that it can drop by 25% To reach the next support for $ 1.95.
Meanwhile, the relative force index of XRP (RSI) is 38, indicating that it could face a drop in prices due to its low force. In addition, the active exponential mobile average (EMA) is still lower than the price, indicating an upward trend.
Main liquidation zones
With the downward price dynamics, traders occupying long positions seem to liquidate. Currently, the main liquidation areas cost $ 2.47 on the lower side and $ 2.75 on the upper side, with traders over these points.
If the current feeling of the market remains unchanged and the price falls at $ 2.47, almost $ 22.68 million in long positions will be liquidated. Conversely, if the feeling changes and the price rises at $ 2.75, around $ 99 million in short positions will be liquidated.
During the combination of these chain metrics with technical analysis, it seems that the bulls are exhausted and that the in their discoveries currently dominate the assets, which could lead to an additional drop in prices.
