XRP Futures Open Interest Zooms to 5-Month High as Traders Seek Bullish Bets

Futures tied to XRP XRP are flashing affirmative signals arsenic the payments-focused cryptocurrency looks to physique bullish momentum.

On Monday, cumulative unfastened involvement successful XRP perpetual futures listed connected large exchanges concisely roseate to 800 cardinal XRP, the astir since Jan. 19, according to information root Velo. The level tracks enactment successful USDT and USD perpetuals listed connected Binance, Bybit, OKX and Hyperliquid.

Cumulative unfastened involvement is presently 743 cardinal XRP, inactive 33% higher than connected June 22, erstwhile XRP enactment successful an interim terms bottommost astatine $1.90.

Open involvement refers to the fig of futures contracts unfastened oregon progressive astatine a fixed time. An summation represents an influx of wealth into the market, though it doesn't springiness immoderate clues astir the quality of the flows.

That said, the caller surge successful unfastened involvement seems to person been led by traders chasing bullish agelong bets. That's due to the fact that perpetual backing rates person consistently held positive, occasionally topping the annualized 10% mark, pointing to request for bullish exposure.

Exchanges typically cod backing rates each 8 hours and impact longs paying shorts erstwhile the request for bullish bets results successful perpetuals trading astatine a premium to the spot price.

Also pointing to the bullish temper successful the marketplace is the "top trader long/short ratio" successful the Binance-listed XRP/USDT market. As of writing, the ratio tracked by Coinglass stood astatine 1.90, implying that for each short, determination are 2 agelong positions open. Short positions nett erstwhile the cryptocurrency declines.

Last week, the Deribit-listed options marketplace saw traders chase the higher onslaught XRP calls.

Still, the cryptocurrency's spot terms is yet to spot notable bullish volatility. On Monday, prices roseate to a precocious of $2.35, the level past seen astatine the extremity of May, lone to rapidly autumn backmost to $2.25 and stay astir that level.