XRP slipped to $1.47 as a Bitcoin-led sell-off triggered heavy liquidations across the crypto market, yet whale outflows from Binance climbed to a seven-month high. Rising open interest alongside the falling price points to traders building short positions, even as demand for XRP ETFs stays strong.
XRP fell 2.3% on the day, mirroring a broader crypto downtrend driven by surging long liquidations. The drop came even as large holders kept pulling coins off exchanges rather than preparing to sell.
Whale Outflows From Binance Hit a Seven-Month High
Data from CryptoQuant shows the 30-day sum of XRP outflows from Binance has risen to 1.38 billion XRP, the highest level in seven months according to analyst Arab Chain. The analyst says the trend points to a shift in whale behavior, with large addresses choosing to hold coins away from the exchange instead of keeping them ready to sell.
A previous CoinGape analysis had also found that the share of whales withdrawing more than one million XRP from Binance and Coinbase rose to 60.8% and 48.7%, respectively, in late September. Meanwhile, SoSoValue data shows XRP ETFs were among the only funds, besides Bitcoin and Hyperliquid, to record inflows on October 6.
Bitcoin Sell-Off Drags XRP Lower
The decline traces back to weakness across the broader market. Bitcoin dropped nearly $2,000 within 20 minutes on October 6, triggering heavy liquidation of leveraged positions. About $394 million in leveraged long positions were wiped out within an hour.
XRP followed the broader market lower as traders cut risk, and around $11 million in XRP long positions were liquidated as the price moved toward the $1.45-$1.50 support area.
Open Interest Climbs as Price Falls
CoinGlass data shows XRP open interest rose to 2.37 billion coins on October 6, up from 2.32 billion coins on October 4. Over that same stretch, XRP price dropped from $1.52 to $1.47 even as open interest climbed by 50 million coins.
A rise in open interest alongside a falling price usually points to traders opening short positions. The XRP long/short ratio has also dropped to 0.92, showing more short accounts than long ones.
Falling Wedge Sets Up the Next Move
XRP is consolidating within a falling wedge pattern on the four-hour chart. A close above $1.51 could open the way to the September high of $1.65, while an ADX line tipping north shows the downtrend gaining strength toward support at $1.43. A close below that level could push XRP to sub-$1.40 territory, and the RSI at 38 still leans bearish.
Sources: CoinGape, Coinpedia Fintech News
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