XRP surged roughly 22% over a 24-hour period, trading near $1.26 and clearing an upside target previously identified in July breakout frameworks. The sharp upward movement forced exchanges to close leveraged short positions, creating cascading short-buying pressure as traders were forced to repurchase the asset to exit their trades.
Fresh positioning data from Hyperliquid highlighted cumulative short liquidations around $607,000 at $1.28, climbing to about $1.4 million at $1.32, and reaching approximately $2.2 million at $1.38. Total short-liquidation exposure across all price levels stood at $49.5 million, with open interest sitting around $116.4 million. Funding rates remained moderately positive at 0.0100% over an eight-hour window.
Traders are closely watching the $1.40 to $1.50 range as a major structural resistance zone that must be sustained to turn the broader chart decisively bullish. Extension targets between $1.60 and $1.73 have also been discussed by market participants, though analysts note that higher levels depend on confirming a breakout past the $1.50 threshold.
On the downside, a pullback toward $1.19 would expose approximately $525,000 in cumulative long liquidations on Hyperliquid, while a reversal to $1.13 would increase that figure to about $2.1 million.
Meanwhile, on-chain data providers like Santiment have monitored significant dormant supply movement. On-chain metrics tracked a large transfer of circulating XRP supply that had previously remained untouched for an average of over 500 days. Market observers are also tracking an unidentified wallet holding a 49 million XRP block following a previous transfer from a Ripple-linked operational address to a Binance-linked account. Analysts note that if dormant supply moves to exchanges, it could introduce active selling pressure during the ongoing short squeeze.
