Ripple Bulls Lose $60M in XRP Flash Crash—Price Plunges to $3: What Happened?

XRP just delivered a brutal wake-up call to overleveraged bulls. The token nosedived to $3 in a flash crash—wiping out $60 million in long positions before most traders could hit 'sell.'

Here's the wreckage.

The Domino Effect

Liquidation cascades lit up exchanges as stop losses triggered en masse. Derivatives traders—who'd bet big on Ripple's recent momentum—got steamrolled by the sudden reversal.

Market Realities Bite Back

Volatility isn't a bug in crypto—it's the main feature. This dump serves as another reminder that 'number go up' isn't an investment thesis (no matter how many Wall Street bros pretend otherwise).

XRP's price action now hinges on whether bulls can regroup—or if this is the start of a deeper correction. Either way, leverage remains the fastest way to turn 'hodl' into a four-letter word.

A lot can change in the digital asset space within the span of just 12 hours. Recall that XRP stood tall earlier today at over $3.3 as the overall sentiment was dominated by the bulls with calls for a new all-time high (currently at $3.65).

However, the landscape worsened in the following hours, especially after the US government announced the inflation data on the wholesale level, which showed that it had risen by the highest percentage since June 2022.

XRP, which had already retraced to under $3.25, plunged once again. This time, the bears were a lot more persistent and drove the third-largest cryptocurrency to a weekly low of $3 (on Bitstamp and other exchanges).

Ripple’s token has bounced since then and currently sits at $3.1. Still, it has dropped by 4% in the past hour alone and over 5.5% on a daily scale.

Data from CoinGlass indicated that XRP traders have been wrecked for over $60 million in the past 24 hours, with longs responsible for more than 92% of that entire share.

The total value of liquidations has jumped above $1 billion, with ETH and BTC leading the pack ($307 million and $256 million, respectively).