XRP open interest tops $2.1B; Are bulls still in charge?

Ripple’s native crypto, XRP is stealing the spotlight as its price hits levels not seen in the last 3 years. Beyond price gains, futures open interest (OI) also hit a record $2.10 billion, hinting at a surge in traders’ activity. Investors are anticipating a possible repeat of XRP’s 2018 rally to $3.

XRP price has made a massive comeback this week, surging by over 95% to outperform Bitcoin (BTC) and Dogecoin (DOGE). Even as it endures a minor dip, its momentum remains strong.

XRP futures open interest hits $2.12B

Per data shared by Coinglass, XRP futures OI soared by 11% in the last 24 hours to hit a fresh milestone of $2.12 billion. Traders are betting big on volatility as short bets account for 50.85% (approximately $6.74 billion), slightly outnumbering longs (approximately $6.51 billion).

Data shows that more than $17 million worth of long and short positions were liquidated in the last 24 hours. Over $9.6 million worth of liquidated bets turned out to be long positions (approximately $9.67 million). This suggests that bears were not anticipating XRP’s price surge. Meanwhile, the liquidated bullish traders did not expect a dip to disturb the momentum.

Ripple’s price jumped by another 8% in the last 24 hours, adding to its 108% surge in the past 30 days. XRP is trading at an average price of $1.13 as of press time. Meanwhile, it is still down by 70% from its all-time high of $3.84, recorded on January 4, 2018.

This comes in after Bitcoin took time off from hitting back-to-back ATHs. BTC price is up by over 10% in the last 7 days, trading at an average price of $90,571.

Legal battles and tech upgrades

Regulatory clarity and upcoming tech upgrades are fueling XRP’s rise. With OI and price climbing simultaneously, signs suggest new money driving the trend, which is a bullish indicator.

Its recent gains kicked off late Thursday as 18 US states filed a lawsuit against the US Securities and Exchange Commission (SEC), accusing the regulator of unconstitutional overreach on crypto. This legal challenge has sparked speculative optimism among investors for a crypto-friendly future under the Trump administration.

Ripple Labs and Uniswap (UNI) stand to benefit as regulatory clouds appear to clear. 

Ripple’s soon-to-be-launched RLUSD stablecoin could be a game changer for XRP. It will integrate into Ripple’s cross-border payment products, enhancing liquidity, lowering costs, and increasing transaction speed. RLUSD could connect to DeFi protocols across multiple blockchains, unlocking new potential for XRP’s use cases in decentralized finance.