XRP has stepped directly into one of the most dangerous spots on its price chart, a tight and volatile range between $3.00 and $3.10, where nearly $30 million in leveraged positions are waiting to be liquidated. This highly concentrated zone, labelled the “max pain” zone by traders, is causing rising tension among investors as volatility increases.
According to CoinGlass data, the XRP/USDT pair on Binance shows a dense cluster of liquidations forming in this narrow range. The chart highlights a market under stress, where any price movement risks setting off a domino effect of forced sell-offs or buy-ins.
XRP Stalls as Liquidation Traps Intensify Around $3.05–$3.10
The price of XRP has hovered between $3.03 and $3.13 for the past 48 hours, forming what many call a “trap zone.” Within this tight window, short positions begin to unravel just above $3.13, while long positions become vulnerable below $3.03. That leaves less than a 3% price difference between the two opposing forces, a razor-thin margin packed with high-stakes leverage.
Liquidation heatmaps from Binance confirm this setup. Bright yellow bands, which indicate heavy concentration of leveraged bets, stretch across the $3.05 to $3.10 range. This is a textbook scenario where pressure builds and then releases violently, often triggered by cascading stop-loss orders or unexpected spot buying.
Traders find themselves caught between two moving walls. If the price nudges up, short liquidations could fuel a sudden pump. If it dips, long positions may get wiped out, pulling the price even lower. Either way, volatility looks inevitable.
One-Month Chart Reveals No Safe Zones, Just Overlapping Risks
Zooming out to the one-month view provides even more context—and more warning signs. A large cluster of short liquidations looms around $3.67, suggesting that bears have stacked their bets higher. Meanwhile, the $3.00 level and below contain fragile long positions that would likely collapse under any strong downward pressure.
This setup creates a no-man’s land for traders. There is no clear support or resistance, only overlapping pockets of risk. The market has essentially boxed itself into a corner, and any directional shift could carry devastating consequences for overleveraged positions.
Analysts agree this is not a zone for casual trades. The extreme leverage concentrated in a narrow range means the next major move, whether upward or downward, could come fast and hard. If market makers initiate a push or if a wave of spot volume enters unexpectedly, the resulting volatility could trigger a chain reaction of liquidations.
The situation no longer hinges on sentiment, but survival. In a zone where millions are at risk, the focus has shifted from bullish versus bearish outlooks to who can withstand the storm when it inevitably hits.
Related article: From Stimulus to $31K: How Investing in XRP in 2020 Turned Relief Into Wealth
Final Thoughts: XRP’s Next Move Could Set Off a Market-Wide Shockwave
XRP’s position inside the $3.00–$3.10 range represents more than a simple resistance or support test. It’s a tightly wound zone filled with high-leverage exposure, where traders are already bleeding and the market is primed for disruption.
As the price continues to test these limits, traders should prepare for extreme volatility. Whether the next move is a breakout or a breakdown, one thing is clear: someone is about to get liquidated, and the ripple effects could spread fast.
