XRP’s recent price action delivered a heavy blow to bearish traders, as over $12 million in liquidations were recorded when the price dipped briefly below the critical $3 level. As highlighted by market analyst Xaif, the sharp move caught many off guard, resulting in a classic bear trap that swiftly reversed direction. The abrupt liquidation event erased heavily leveraged short positions, setting the stage for what appears to be a fresh bullish breakout . The liquidation cascade below $3 not only removed downside pressure but also triggered increased demand as market participants rushed to re-enter at higher levels. : Bears got wiped out hard below $3 over $12M in liquidations! Now XRP is building pressure around $3.35–$3.60 Next stop? A short squeeze incoming pic.twitter.com/ExfvkxvVQQ — 𝕏aif | (@Xaif_Crypto) July 27, 2025 Price Compression Between $3.35 and $3.60 Following the liquidation spike, XRP has been coiling tightly in a rising consolidation range between $3.35 and $3.60. This zone is now acting as a critical pressure point . Price data indicates buyers are accumulating at higher lows, while selling pressure is weakening near resistance levels. The setup is becoming increasingly favorable for a short squeeze. This phase of sideways movement is not a sign of stagnation, but a build-up of energy. Technical structures suggest XRP is preparing for a breakout, with liquidity building just above current levels. Momentum traders are closely watching the $3.60 level, anticipating a surge in buy orders and short-covering if it’s breached. Short Squeeze Incoming? Market Setup Aligns The current price dynamics and liquidation data point toward a potential short squeeze. With bearish bets largely cleared below $3 and open interest still recovering, XRP is positioned for another explosive move. Breaking the $3.60 resistance zone could trigger a sharp price surge as short-sellers rush to cover their positions. Historical behavior following similar liquidation-driven reversals shows a tendency for accelerated moves. In this case, the consolidation zone is narrow, and volatility remains suppressed, two conditions often preceding strong breakouts. If buying volume increases, XRP could break free of its current range and move decisively toward higher resistance levels in the $3.80 to $4.00 region. We are on twitter, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) July 15, 2023 Market Outlook: Path of Least Resistance Is Up With the market now cleared of excessive bearish leverage, XRP has a cleaner runway for further gains. The key support at $3 has held firm, and current consolidation near $3.50 suggests accumulation rather than distribution. Technical indicators are gaining momentum, and price action suggests a shift from panic sales to building positions. Xaif’s analysis highlights the rebound’s strength and XRP’s potential to benefit from the liquidity gap above. As traders and investors reposition for what comes next, all eyes are on the $3.60 mark . A confirmed breakout could usher in a rapid wave of bullish momentum, turning the tables entirely on short-sellers and extending XRP’s rally into fresh multi-year highs. The market has spoken: the bears have been wiped out, and the bulls are tightening their grip. What follows may not be a slow grind, but an explosive sprint. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on Twitter , Facebook , Telegram , and Google News The post XRP Bears Got Wiped Out Hard Below $3. Here’s What Is Coming appeared first on Times Tabloid .