XRP leads the decline in the cryptocurrency market, with leveraged liquidations testing the upward trend

XRP has dropped 6.23% in the past 24 hours to around $1.38, making it the token with the largest decline among the top ten cryptocurrencies by market capitalization. Previously, XRP surged from around $1 on August 18 to $1.69, an astonishing increase within four days, briefly touching the psychological level of $1.7.

The pullback is mainly due to leveraged liquidations. XRP has still risen 35.55% over the past week, second only to Hyperliquid's 38.65% weekly increase. Notably, XRP-related ETFs have recorded net inflows for nine consecutive days, indicating that institutions have not withdrawn, and the issue mainly lies in the leverage aspect rather than capital outflows.

After breaking through $80,000 on Tuesday, Bitcoin has retreated to around $78,000, dragging down the overall altcoin market. The market is awaiting tonight's core PCE inflation data and Nvidia's earnings report; whether XRP can hold the $1.4 support level will determine if this rally is a healthy correction or a further decline.