According to CryptoQuant, the XRP ELR ratio has fallen to 0.060. As the name suggests, the ELR indicates how much leverage investors are using to predict their positions in the market. An increasing leverage ratio indicates that investors are making high-risk predictions in the market. This usually means that the price will move in a certain direction.

However, a decline indicates that investors are skeptical about the price movement. So instead of opening contracts with 25x, 50x, and 100x leverage, recent data shows that they are being careful to avoid getting liquidated. Weighted Sentiment measures how positive or negative market participants feel about a cryptocurrency.

When this reading increases and remains positive, it indicates high confidence that the price will increase. Conversely, a negative reading indicates pessimism in market sentiment. Currently, the data is approaching the negative territory, indicating a decrease in bullish sentiment. If it falls further, demand for XRP could weaken, potentially leading to a price drop below $0.59.