XRP has bounced back above $1.40 after a sharp weekly selloff, with lower open interest and heavy short liquidations shaping the recovery. The token had fallen from a weekly peak of $1.50 to below $1.30 after the U.S. Senate failed to advance the CLARITY Act in a 49–50 cloture vote. However, a broader crypto recovery—led by Bitcoin reclaiming $80,000—triggered a short squeeze that lifted several altcoins.
Spot Volume and Short Liquidations Spike
XRP spot volume reached approximately $1.36 billion in 24 hours as the price climbed about 7% to $1.41. Total turnover tracked by CoinMarketCap jumped nearly 90% to $4.9 billion. Meanwhile, short liquidations hit roughly $8.05 million, showing how quickly bearish positions came under pressure.
The rebound followed a drop toward the $1.23–$1.30 area earlier in September. The move did not arrive with a fresh fundamental catalyst. Instead, it tracked the broader crypto recovery as Bitcoin pushed back above $80,000.
Key Support and Resistance Zones in Focus
Analyst Ali Martinez identified the $1.31–$1.35 range as the immediate support zone, with XRP repeatedly trading around that area after this week’s decline. A sustained hold would keep attention on $1.38–$1.40, followed by heavier resistance near $1.50–$1.54.
The technical setup also includes a potential golden cross, as XRP’s five-day moving average approaches its 200-day moving average. Traders often treat that crossover as a bullish momentum signal, although it does not guarantee further gains.
Can XRP defend $1.31–$1.35 while building enough spot demand to challenge the $1.50 area again? That question now sits at the center of the short-term price setup. Analysts also point to improving altcoin conditions as traders watch for capital rotation away from Bitcoin.
Leverage Declines as Short Liquidations Rise
Futures open interest dropped more than 20% within several days during this week’s deleveraging. That decline shows leveraged traders reduced exposure after regulatory and macro volatility. Lower leverage can weaken immediate momentum, but it can also reduce the risk of a liquidation cascade.
Saturday’s rebound still carried a strong derivatives component. XRP shorts absorbed about $8.05 million in liquidations, while long liquidations reached roughly $2.36 million. Across the broader crypto market, leveraged liquidations totaled about $300 million as Bitcoin moved above $81,000.
XRP futures volume remained near $5.71 billion, more than four times spot volume. Futures activity had also reached a six-month high in August before later volatility. That balance keeps leverage central to the next move even after open interest declined.
The gap between futures and spot activity remains important because large derivatives positions can amplify price swings. Another leverage flush could reverse a fast rally, while lower open interest may reduce the risk of a similar cascade.
ETF Flows and Utility Remain in the Spotlight
Institutional demand remains visible through U.S. spot XRP ETFs, which have recorded more than $1.7 billion in inflows. That figure stands apart from the token’s recent price weakness and gives traders another measure of demand beyond short-term market moves.
At the same time, 21Shares has pointed to a gap between XRPL utility growth and XRP price performance. Whale activity has also increased: about 1.6 billion XRP moved into Binance over 30 days, marking a six-month high, while exchange reserves reached a 69-day high.
CryptoQuant analysts said those flows could reflect reallocation rather than direct selling. Even so, the larger Binance balance creates potential supply if holders choose to sell. Ripple has also added XRP and RLUSD to Stripe and Tempo’s AI agentic payments effort.
Another derivative catalyst arrives next: the Moscow Exchange plans to launch XRP perpetual futures on September 22. That product will add another venue for XRP-linked derivatives as traders continue watching spot demand, leverage, support levels, and ETF flows.
Conclusion
XRP has recovered above $1.40 after its sharp selloff, with lower open interest and short liquidations shaping the rebound. Traders are now tracking $1.31–$1.35 support, resistance near $1.50, XRP ETF inflows, Binance whale activity, and the September 22 Moscow Exchange futures launch.
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