XRP Open Interest Surges Over $1 Billion as Price Eyes Major Breakout
By Leon Okwatch
Published: May 14, 2025
XRP, one of the leading cryptocurrencies, has experienced a significant surge in open interest, surpassing $1 billion, as its price aims for a breakout. The digital asset is currently trading at approximately $2.58, reflecting a notable nearly 20% increase over the previous week. This upward momentum positions XRP ahead of the broader cryptocurrency market, which recorded a 13% rise during the same timeframe.
Open Interest Rises Sharply
According to data from Glassnode, a blockchain analytics firm, open interest in XRP futures contracts rose from $2.42 billion to $3.42 billion within just a week, marking a remarkable 41.6% increase. This surge, amounting to an additional $1 billion, indicates a growing influx of capital into the market and heightened speculative activity. Investors seem to be positioning themselves for a significant move in the asset’s price.
Open interest refers to the total number of active futures contracts that have not yet been settled. A rise in open interest, particularly alongside an increasing price, typically signals the entry of new money into the market rather than merely short-covering or unwinding existing positions. This trend underscores a strong directional conviction among traders regarding XRP’s future performance.
Technical Indicators Show Strength
The technical outlook for XRP also points toward potential for continued upward movement. The asset has been consistently trading above crucial short- and long-term moving averages, including the 10-day, 50-day, and 200-day averages. Current momentum indicators suggest that while pressure is mounting, XRP has not yet reached overheated levels.
The relative strength index (RSI) stands at 68, approaching the overbought zone but still indicating room for further bullish movement. Additionally, the moving average convergence divergence (MACD) presents a favorable outlook for continued price gains.
Institutional Interest on the Rise
Alongside favorable technical indicators, institutional demand for XRP appears to be increasing. The XXRP ETF, which provides institutional investors with exposure to XRP, recorded inflows for five consecutive weeks. Last week alone, the fund witnessed inflows of $14 million, up from $10 million the prior week, bringing the total assets under management to over $99 million. This is particularly noteworthy given the fund’s 1.89% annual management fee, which is nearly double that of many Bitcoin ETFs.
The growing interest in XRP ETFs coincides with speculation regarding imminent approvals for spot XRP ETFs by the U.S. Securities and Exchange Commission (SEC). According to data from Polymarket, the chances of approval sit at around 80%. Analysts at JPMorgan have suggested that inflows for XRP ETFs could reach as much as $8 billion in the first year, significantly outpacing Ethereum ETF inflows since their introduction in September 2024. ## Conclusion
With a solid technical foundation, increasing institutional interest, and a significant rise in open interest, XRP appears to be on the cusp of a major breakout. As trading patterns develop and institutional investors continue to seek exposure to XRP, the outlook for this cryptocurrency remains optimistic—suggesting that traders and investors alike should monitor developments closely.
For ongoing crypto updates and analyses, make sure to stay tuned to Crypto News for the latest information on market trends, price movements, and institutional activity.
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