XRP's open interest peaks at $2.6 billion, driven by ETF speculation and SEC developments.
XRP hits $1.52, marking a 180% price surge within a month amid bullish market conditions.
XRP remains strong, outperforming major altcoins with a 7% increase despite Bitcoin's drop.
The open interest in XRP reached $2.6 billion, as indicated by CoinGlass, recording an all-time high. This open interest represents the total number of active futures or options contracts. Its achievement relates to rising trader engagement and expanding market focus on the Ripple-claimed asset. The increase happens concurrently with various events, such as speculation that an ETF for XRP could be launched.
Thus, the futures market has increased activity due to Ripple’s trial with the SEC and rumors regarding the dismissal of the SEC head, Gary Gensler. According to Maarten, an analyst at CryptoQuant, one of the reasons for the recent market bullishness is Gensler’s expected resignation. The futures open interest went down by 4% to $2.26 billion but continues to hover at high levels compared to the previous months.
Price Gains Despite Broader Market Weakness
XRP remains in the lead as it trades at $1.41 on Bitstamp, a crypto exchange. Earlier in the week, the token hit an intraday high of $1.52, increasing its value by 180% in one month. Nonetheless, these improvements were partially reversed after prices dropped with Bitcoin to $94,000.
Although Bitcoin dropped in value, XRP has remained strong and increased by 7% in the last 24 hours. The price rally has been attributed to the favorable evolutions in the legal fight coupled with skepticism on the potential approval of the ETF. Some firms that have proposed the spot ETFs associated with XRP include Bitwise and Canary Capital, which show the institutional demand for this asset.
Ripple’s Growing Momentum and Long-Term Potential
Market analysts suggest that XRP’s recent performance expressed increased confidence in its possible future. The cryptocurrency recently rose to $1 for the first time in the last three years. Additionally, this has sparked debate as to when or if XRP will ever reach $10 or even past that, given the right market and regulatory circumstances.
A crucial factor influencing XRP's trajectory is the upcoming departure of SEC Chair Gary Gensler in January 2025. Market participants speculate that a leadership change at the SEC may lead to more favorable cryptocurrency conditions, including Ripple's XRP. Additionally, political dynamics, such as former President Donald Trump’s pro-crypto stance, add another layer of optimism to XRP’s market outlook.
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