XRP Declines 17% in Largest Single-Day Decrease Since 2025 as $46 Million in Leveraged Long Positions Are Liquidated

A surge of leveraged liquidations amounting to $46 million caused XRP to experience its most significant one-day decline in over four months. This downturn stands in contrast to Ripple’s recent achievements in securing new regulatory approvals throughout Europe.

Key Takeaways:

– XRP decreased by more than 17% to approximately $1.25 on Thursday, marking its worst single-day performance since October 2025, as the wider crypto markets fell sharply.

– Approximately $46 million in XRP derivatives were liquidated within a 24-hour period, with $43 million originating from leveraged long positions, as reported by CoinGlass.

– In spite of the steep decline, XRP spot ETFs have continued to draw in net inflows, accumulating around $24 million this week and surpassing $1.2 billion in total inflows since their launch in November 2025.

The price of XRP dropped over 17% in the last 24 hours to about $1.25, making it the worst-performing major cryptocurrency for the day. Bitcoin saw a decline of roughly 10% towards $65,000 during the same timeframe, while Ethereum fell below $2,000 and Solana hovered around $82, as the selloff extended throughout the entire crypto market.

This movement increased XRP’s weekly losses to nearly 30% and reduced its market capitalization to around $75 billion, a significant decrease from its peak of $210 billion in July 2025. XRP is currently trading 45% lower than its high of $2.41 in January 2026. This downturn has been exacerbated by worsening conditions in the broader market.

Bitcoin’s decline to $64,000 triggered a record $3.2B in realized losses, a capitulation event that exceeded even the market shocks of the Luna and FTX periods, according to an on-chain analyst.#CryptoCrash #Volatility https://t.co/GcmUn4hIs0

— Cryptonews.com (@cryptonews) February 6, 2026

Leveraged Liquidations Intensified the Selloff Across Derivatives Markets

Data from CoinGlass indicated that around $46 million in XRP derivatives were liquidated over a 24-hour span, with bullish positions contributing approximately $43 million to that total.

Prices gradually declined throughout most of Thursday until a sudden drop late in the session triggered a wave of stop-loss orders and forced liquidations.

The breach of the $1.44 support level transformed that area into overhead resistance, with $1.00 emerging as the next significant psychological threshold.

In the broader market, traders experienced about $1.42 billion in total crypto liquidations on Thursday, with long positions representing $1.24 billion of that amount.

XRP ETF Inflows Remain Steady Despite the Price Decline

In spite of the sharp drop, institutional investments in XRP exchange-traded funds have continued to show positive trends.

Since their launch in November 2025, XRP spot ETFs have recorded inflows on all but four trading days, according to SoSoValue data. For this week, inflows reached approximately $24 million, bringing total net inflows to over $1.2 billion.

This stability contrasts sharply with Bitcoin ETFs, which experienced around $545 million in outflows on Wednesday alone.

Ripple’s Regulatory Achievements Did Not Mitigate the Decline

The selloff occurred during a notably active period for Ripple. Earlier this week, Ripple announced it had obtained full approval for an Electronic Money Institution license from Luxembourg’s Commission de Surveillance du Secteur Financier, allowing it to expand regulated payment services across the EU.

This Luxembourg approval followed a separate EMI license granted by the UK’s Financial Conduct Authority in January, increasing Ripple’s total global licenses to over 75.

However, none of these developments provided a buffer for XRP against the broader risk-off sentiment. This price movement highlights that the token’s valuation is primarily influenced by positioning and momentum rather than narratives of adoption.

The post XRP Plunges 17% in Steepest One-Day Drop Since 2025 as $46M in Leveraged Longs Get Wiped appeared first on Cryptonews.