XRP Nears $5B in Open Interest—Is a Price Surge Next?

Open interest in XRP flirts with $5 billion—traders are betting big, but will the market deliver?

Speculation mounts as derivatives volume spikes. The last time open interest hit these levels, XRP saw double-digit rallies. History repeating—or another case of ’this time it’s different’?

Meanwhile, institutional players keep stacking positions like Wall Street bankers at a taxpayer-funded buffet. The real question: When the music stops, who gets stuck holding the bag?

Traders Positioning for a Possible Upside

In the world of futures trading, a growing Open Interest is often seen as a sign that traders expect price movement. When this metric rises along with price, it usually reflects bullish sentiment. However, when prices stay flat or drop, as is the case with XRP, it may suggest a buildup of indecision or even caution among traders.

The XRP Futures market is currently seeing a high level of activity. Such conditions often make prices more volatile, especially if traders begin to shift positions rapidly in response to news or technical triggers. Despite the surge in activity, XRP has shown resilience, hovering around $2.30 while failing to break significantly higher.

This ongoing battle between bullish enthusiasm and resistance levels may determine whether XRP remains range-bound or sees a breakout.

Technical Analysis: Key Levels to Watch

XRP’s recent price action shows clear signals of market hesitation. The asset dropped slightly to $2.2983, entering a familiar demand zone after a string of minor breakdowns known as Changes of Character (CHoCHs). Several important levels are in play: the Break of Structure (BOS) level at $2.20 remains a crucial support, while repeated attempts to push past $2.40 have failed.

The price has formed equal highs (EQHs) around $2.40–$2.70, suggesting that resistance is building within this range. If XRP manages to stay above $2.20 and gain momentum, the next targets WOULD likely be $2.40 and $2.50. A move above $2.50 could then bring $2.70 into focus as the next significant resistance.

On the downside, if $2.20 fails to hold, XRP could revisit the demand zone NEAR $2.10. An equal low (EQL) at approximately $2.22 has formed, hinting that the market is paying close attention to these support levels.

Technical indicators suggest a tipping point could be near. Traders will be closely monitoring price action between $2.10 and $2.70 for clearer signals of direction.

SEC Review of WisdomTree’s XRP Product

In a parallel development that could impact market sentiment, the U.S. Securities and Exchange Commission (SEC) is reviewing a proposal related to the WisdomTree XRP Trust. This proposal, submitted by the Cboe BZX Exchange, is requesting approval to list an XRP-based financial product.

The SEC acknowledged the filing on March 11 and has opted to extend the review period. As of now, the agency has not made a final decision and may request additional information before doing so. While no clear outcome has been indicated, the ongoing review does suggest that regulatory authorities are taking XRP-based products more seriously.

This move, even without approval, signals a growing focus on digital assets by major financial entities. For traders and investors, the SEC’s attention could be seen as a validation of XRP’s relevance in the broader market.

What This Means for XRP’s Outlook

With Futures Open Interest rising significantly and regulatory reviews underway, XRP finds itself in a pivotal moment. On one hand, high participation in the derivatives market suggests that traders are preparing for major moves. On the other, the price continues to hover within a tight band, facing repeated rejections near resistance levels.

The path forward likely depends on two factors: whether the $2.20 support holds firm, and if the SEC provides any favorable signals in its ongoing review. A break above $2.40, followed by a push toward $2.70, could trigger renewed bullish momentum. Meanwhile, a dip below $2.20 might shift sentiment bearish and lead to deeper corrections.

For now, the market remains in a wait-and-see mode. Traders and investors are advised to keep a close watch on key technical levels and regulatory headlines, as either could set the stage for XRP’s next significant move.

Conclusion

The surge in XRP’s Open Interest is impossible to ignore. It reflects growing trader involvement and rising expectations. While the price has not yet followed this increase, history shows that such market conditions often precede volatility.

With regulatory decisions still pending and technical indicators flashing mixed signals, XRP may be gearing up for a breakout—or a breakdown. In either case, the next few weeks could be critical for understanding where XRP is headed next.