XRP Extends Rally as Liquidation Wave Accelerates Bear Unwind

$XRP surges above key moving averages as short liquidations mount and bullish momentum accelerates, pushing price toward the top of its range and signaling a potential trend reversal that traders are closely watching.

$XRP Breakout Gains Strength as Shorts Get Squeezed

At 10:51 on Feb. 25, $XRP is trading at $1.44194, up 7.02% over the past 24 hours. The session has produced a high of $1.44570 and a low of $1.34092, with price pressing near the top of that range as bullish momentum accelerates. The latest hourly candles show a sharp expansion to the upside, with $XRP breaking higher after stabilizing above recent support.

From a short-term perspective, $XRP has transitioned from a multi-day slide into a decisive rebound. After falling from levels above $1.60 earlier in the displayed period and forming a base in the $1.32–$1.34 zone, price began carving out higher lows before surging through the $1.37–$1.40 area. $XRP has reclaimed both the 50-period simple moving average at $1.35994 and the 200-period simple moving average at $1.40928, signaling an improving trend structure. Volume expanded during the breakout, reflecting stronger participation as buyers pushed price through key resistance levels.

$XRP 1-hour price chart on Feb. 25 via Bitstamp.

Beyond the technical rebound, institutional positioning and derivatives data add important context. Coinglass data shows $XRP liquidations totaling $6,245,064 over the past 24 hours, with $4,439,249 tied to short positions and $1,805,814 to longs, indicating that the majority of forced closures were bearish bets. Over the same period, broader crypto market liquidations reached $363.37 million, heavily skewed toward short positions. At the same time, institutional flows are showing early signs of stabilization. On Tuesday, the Bitwise $XRP ETF recorded $3 million in net inflows, marking a shift from the outflows seen earlier in February. Total assets under management across $XRP ETFs are hovering around $981 million, suggesting institutional holders are defending the $1.30–$1.35 range as a longer-term entry zone even as short-term volatility spikes.

Technical indicators confirm the strength of the breakout. The Relative Strength Index ( RSI) stands at 78.18, firmly in overbought territory and reflecting aggressive buying pressure. The Moving Average Convergence Divergence ( MACD) shows the MACD line at 0.00771 above the signal line at 0.00108, with a positive histogram reading near 0.01779, signaling expanding bullish momentum. From a Moving Average (MA) standpoint, $XRP’s position above both the 50-period and 200-period simple moving averages marks a notable shift in bias. Bollinger Bands have widened, with the upper band near $1.43026 and the lower band around $1.32481, and price is pressing beyond the upper band, highlighting volatility expansion to the upside.

If $XRP can maintain acceptance above the $1.43–$1.44 zone, the breakout could extend as short-covering pressure subsides and buyers attempt to establish higher support. However, with RSI elevated and price stretched above the upper Bollinger Band, a period of consolidation or a pullback toward the $1.40 area would not be unusual before the next directional move develops.

FAQ 🧭

• Why is $XRP rising sharply right now?
  Strong buying momentum and heavy short liquidations are fueling the breakout above key resistance levels.
• What do $XRP’s moving averages signal for investors?
  Trading above the 50-period and 200-period simple moving averages suggests a shift toward a more bullish trend structure.
• Does the high RSI reading pose a risk?
  An overbought RSI indicates powerful momentum but increases the likelihood of short-term consolidation or pullback.
• How important is the $1.43–$1.44 zone?
  Holding above that range could help $XRP establish higher support and sustain its upward breakout.