XRP bear trap alert! Bitfinex shorts surge 652% as supply tightens

The current market breakdown could go either way. On one hand, this can lead to a further capitulation phase for the market as key support levels come under threat. However, it could also be seen as a bear trap for those short sellers who have stretched their positions too far. Notably, XRP seems to be at the forefront of this debate. As the chart below shows, Bitfinex XRP shorts have spiked by 652.89% to 468.2 million. Given the weakening technical momentum, this bearish positioning is not entirely surprising. The altcoin has seen five straight weekly lows and broken below the $1.20 support level, with its price now approaching the $1 mark. Meanwhile, XRP’s relative strength is adding another layer of pressure.

BeCrypto News shows a short excerpt and links to the publisher. The full report belongs to AMBCrypto.