Rising Futures OI raises both bullish hopes and liquidation risks.
Ripple’s XRP is in the spotlight again! The token has attracted the attention of both Futures investors and ETF investors, although its price has not yet shown strength.
Is a rally underway, or are traders taking on excessive risk too early?
XRP Futures OI rises above 30-day average
Binance’s XRP 30-Day Open Interest (OI) Z-Score went up 1.60, well above his recent average. Total OI was approximately 440.6 million XRP at the time of writing, compared to a 30-day average of 418.5 million XRP and standard deviation of 13.8 million XRP.
Participation by derivatives traders is better but has not yet led to a clear price increase. However, the price is quiet and OI is still well below 2025 rally levels.
If price and OI rise together, this could change things. Moreover, if leverage continues to increase without price, the market may become more prone to volatility and liquidations.
XRP ETFs add $8.15 million
And it’s not just the Futures market. XRP ETFs saw weekly inflows of $8.15 million. This represents an improvement from the previous week and a prolonged recovery following recent declines. At the time of this writing, total assets reached $1.04 billion.
This demand came despite minimal potential. XRP price is on the rise as it is. However, since weekly flows are uneven, consistent inflows will be important for this to become a trend.
XRP holds but trend is weak
All of this has given XRP a slight technical upside, but not enough for a rise.
XRP was traded at approximately $1.14 as of the time of writing. This followed a recovery from the $1.05 area, with $1.15 serving as immediate resistance. The RSI gave buyers a slight advantage.
The positive direction indicator was above the negative one but ADX was low at 13.17, indicating a weak trend. A daily close above $1.15 could create more gains, while a decline below $1.10 could bring focus back to $1.05.
Final Summary
- XRP Futures OI rises above 30-day average; Binance’s OI Z-Score reached 1.60.
- XRP ETF inflows reached $8.15 million but the price needs to exceed $1.15 for a better outflow.
