Ripple's XRP experienced significant volatility on September 25, registering as one of the top performers among large-cap altcoins. Following a market slump that saw the asset reject at $1.65 and drop below $1.50, XRP rebounded swiftly to trade over 6.5% higher over a 24-hour period, sitting at $1.55 as of press time. This daily gain outpaced other major cryptocurrencies such as Bitcoin and Binance Coin, which saw smaller increases.
Market analysts attribute the rebound to several key factors, beginning with ongoing inflows into spot Ripple exchange-traded funds (ETFs). Despite a sluggish start with zero reportable data on Monday, the funds attracted $20.02 million on Tuesday, $18.04 million on Wednesday, and $14.89 million on Thursday. These additions pushed cumulative net inflows to a new all-time high of over $1.76 billion.
Additional momentum came from large market participants, or whales, who reportedly acquired more than 1.5 billion tokens over a 96-hour period the previous week.
Furthermore, data shared by crypto commentator Xaif Crypto pointed to a substantial surge in short liquidations exceeding 45% on the 4-hour XRP/USD chart. This activity contributed to a short squeeze as traders closed positions and purchased tokens to cover losses, followed by a 16.11% swing in long positions.
