Bitcoin, Ethereum, XRP Prices at Risk Due to Dominant Unliquidated Long Positions

Joao Wedson, founder and CEO of Alphractal, has issued a warning about the cryptocurrency market. He claims that there is an imbalance of unliquidated long positions in Bitcoin, Ethereum (ETH), XRP, and Solana (SOL). These longs have not yet been closed or forced to sell, and Wedson believes that they pose a significant threat to prices.

The situation is particularly precarious for ETH, SOL, and XRP. According to Wedson, these assets saw a massive buildup of longs over the past 30 days, which creates vulnerability whenever price momentum starts to fade. A modest pullback can trigger stops, leading to a chain reaction that amplifies selling and creates a domino effect across derivatives markets and spot prices.

The core problem, according to Wedson, is that the recent rally lacks genuine conviction. Prices climbed, but underlying buying strength remained weak, relying on borrowed positions rather than real spot demand. This makes the market reflexive, where a small trigger can unwind more leverage than initially justified.