XRP Price Under Pressure as Bulls Eye Key Resistance Level

The XRP price decline has been marked by heavy long liquidations, according to market commentary shared by CW. Many retail traders holding high-leverage long positions were forced out as the market moved lower. The updates point to position clearing as the main feature of the move, rather than fresh short pressure.

Short positions have actually been decreasing, rather than increasing. A sharp move can quickly put pressure on positions that are built on borrowed exposure, even when the wider market remains bullish. Traders need to be careful with high-leverage positions, as a decline of this size can still happen and remove traders who have taken on too much leverage.

Attention is now turning to the $1.65 level, which EGRAG CRYPTO described as a battleground for XRP. On the way down, $1.65 was identified as an important target. Now, the level has taken on a different role as the market tries to recover. According to the analyst, XRP needs to reclaim and hold $1.65 for the market structure to start changing.

The reaction around $1.65 could give traders a simple signal. If XRP moves back above the level and stays there, confidence in a recovery could improve. If the price fails to regain it, the area could continue to act as a barrier during any attempted rebound.