XRP Derivatives Boom Sparks Speculation And Caution

The crypto market sometimes holds surprises that shake up conventions. This is the case with XRP, whose derivatives products have just experienced a spectacular surge: +62.99 % volume in 24 hours, amounting to 4.52 billion dollars according to Coinglass. This is a significant rally that contrasts with the decline in open interest, suggesting speculative enthusiasm tinged with caution. This imbalance between excitement and restraint intrigues industry players and fuels speculation around the evolution of the Ripple ecosystem.

A Spectacular Revival of Activity on XRP Derivatives

The derivatives market for XRP experienced a remarkable surge over the past 24 hours, with a 62.99 % increase in trading volume, according to Coinglass data. This spectacular growth pushed the total volume to 4.52 billion dollars, a level that reflects a sudden and massive resurgence of interest from traders.

However, alongside this rise, open interest, meaning the total number of open positions on futures contracts, slightly decreased by 0.3 % to 3.65 billion dollars. This discrepancy indicates that most of this activity is likely linked to short-term strategies rather than long-term bets.

Traders have not taken many open positions despite the increase in trading activity.

Here are the main figures to remember regarding this momentum :

• +62.99 % increase in XRP derivatives volume, reaching 4.52 billion dollars ;
• -0.3 % decrease in open interest, now at 3.65 billion dollars ;
• Long/short ratio on Binance : 3.0161, favoring long positions (3 times more bullish positions than bearish) ;
• Long/short ratio on OKX : 2.2, confirming the general bullish trend.

These data show a marked asymmetry : volumes are exploding, net interest remains stable, but directional bets overwhelmingly focus on the upside. Moreover, this reflects a revived speculative appetite for XRP, driven by a decisively bullish psychological bias on major trading platforms.

A Market Under High Tension : Speculation on XRP Becomes Technical and Risky

Alongside the rise in futures volume, the XRP options markets are also experiencing a strong acceleration. The volume of options increased by 65.06 %, while the value of open positions on these products grew by 24.48 %, reaching 763,030 dollars.

These instruments, often used to speculate on volatility or hedge against adverse moves, indicate a strong anticipation of significant price fluctuations. Thus, it suggests that “traders are speculating on the fact that several factors could influence the future direction of the XRP price“. We are no longer just talking about rising or falling but about extreme uncertainty and opportunities for sophisticated operators.

Another key indicator completes this tense picture: liquidations. Indeed, 8.63 million dollars were liquidated in just 24 hours. Interestingly, 7.8 million dollars relate to long positions, against only 835,450 dollars for short positions.

Such a disparity can be explained by sharp price moves that may have trapped bullish investors overly exposed to leverage. While traders are mostly optimistic, these liquidations reveal an underlying fragility and a crypto market that does not forgive excess confidence.

The combination of these elements paints a complex landscape for XRP. On one side, activity intensifies and interest seems focused on speculative strategies. On the other, volatility remains high, and long positions, although dominant, are particularly vulnerable to adverse moves.

Added to this is an external factor that might play a role : Ripple’s donation of 25 million dollars in RLUSD to support American schools, a gesture which, although philanthropic, could reinforce positive perception around the XRP ecosystem. However, in the short term, this initiative seems to have only a marginal effect on purely speculative dynamics.

The surge in XRP derivatives volumes is undoubtedly a sign that something is brewing in the market, but signals remain mixed. Thus, the apparent enthusiasm for long positions and options reflects an expectation of significant moves, but the massive liquidations of bullish positions call for caution. While the climate appears resolutely bullish on the surface, the underlying indicators argue for a more nuanced analysis. As is often the case in the crypto market, the line between euphoria and disappointment can be crossed in the blink of an eye.