XRP Faces Further Downside Risk After $435 Million in Liquidations, Bollinger Bands Warn
Analysis
Price Impact
MedSignificant liquidations of leveraged long positions ($435 million total, $9.02 million for xrp) suggest forced selling and a potential short-term bounce. however, the underlying trend remains uncertain as the price is still below key technical indicators.
Trustworthiness
MedThe analysis relies on liquidation data and bollinger band indicators, which are common tools in technical analysis. however, the prediction of future price movements based solely on these factors has inherent uncertainties.
Price Direction
BearishThe xrp price is currently below the bollinger midline and a key resistance zone ($1.42-$1.45). the expanding bollinger bands suggest active range expansion, not consolidation, and a break below the lower band ($1.29) would signal further downside.
Time Effect
ShortThe immediate impact of liquidations can lead to short-term price volatility. the chart analysis focuses on daily time frames, suggesting that a clearer trend direction might emerge within days to weeks.
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Cover image via U.Today Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available. Read U.TODAY on Google News The last week of February began with one of the most intense stress tests of the month for the digital assets market. According to CoinGlass , there were total liquidations of $435.64 million across exchanges over the past 12 hours, with long positions accounting for $393.43 million of that total. Advertisement Although XRP was not the main focus, it was definitely in the mix, with $9.02 million in liquidations over 12 hours as leveraged longs were pushed out. 24H Liquidation Heatmap, Source: CoinGlass Leveraged buyers were caught leaning the wrong way and were forced out. When this kind of overleveraging is removed, the price often rebounds simply because sell pressure tied to margin calls disappears. XRP’s 1.91% four-hour bounce fits that pattern. However, it was a derivatives reset, not a confirmed reversal. HOT Stories Crypto Market Review: XRP's Double Bottom Could Be Key, Bitcoin Is Literally on the Edge, Shiba Inu (SHIB) Price Is Trapped Now Strategy on Track to Reach 750K BTC as Saylor Teases Another Purchase Why sell-off may not be over for XRP Liquidations change the market's composition. However, they do not automatically change the trend. That is where the chart comes in. Advertisement On the daily time frame, the XRP price is below the Bollinger midline and the $1.42-$1.45 zone, which previously acted as support but now acts as resistance. The lower Bollinger band is near $1.29. XRP/USD Daily Chart, Source: TradingView Neither has the price closed decisively at or beyond that band, nor has it formed a typical bottom sequence, such as repeated lower-band tags followed by compression and reclaiming the midline. Instead, the bands are expanding, which usually signals active range expansion rather than base building. You Might Also Like Mon, 02/23/2026 - 00:01 Crypto Market Review: XRP's Double Bottom Could Be Key, Bitcoin Is Literally on the Edge, Shiba Inu (SHIB) Price Is Trapped Now By Arman Shirinyan Advertisement The next thing to watch is a daily close back above the midband, which would suggest stabilization. In contrast, a break below and acceptance of the $1.29 per XRP region would suggest that the downside leg is not over. The liquidation wave eliminated leverage, but the structural decision is still pending. #XRP #Bollinger Bands #XRP Price Analysis