XRP surged 21% in a week, now trading at $2.58 with steady upward pressure. Key developments include:
- Open interest rebounded from $530M after plunging from $1.5B, signaling renewed trader confidence.
- Analysts eye $3.01** and **$4.40 as next targets, with $2.53 now acting as strong support.
- Aggressive selling is being absorbed, hinting at accumulation before a potential breakout.
Market Rebound and Derivatives Activity
XRP derivatives activity on Binance shows a notable surge in speculative positions, suggesting traders are accumulating. After open interest dropped to $530M** (from **$1.5B), its recovery indicates growing market confidence.
"Aggressive selling is meeting strong absorption," notes BorisVest of CryptoQuant, highlighting early signs of accumulation before upward moves.
Key Metrics:
- Funding Rate: Neutral, balancing long/short positions.
- Taker Buy/Sell Ratio: 0.91 (sellers slightly dominant), yet prices remain stable—likely due to institutional buy-ups.
👉 Why XRP’s derivatives activity matters for traders
Bullish Chart Structure and Targets
Trader 1981 identified $2.53 as a flipped resistance-to-support level, reinforcing bullish momentum:
- Short-term target: $3.01 (1.272 Fibonacci extension).
- Major resistance zone: $4.40+, a potential peak.
Chart Analysis:
- Rising trendlines support upward trajectory.
- Hourly charts show accelerating momentum post-breakout.
FAQ
Q: What’s driving XRP’s price surge?
A: Combined factors: derivatives activity rebound, absorption of selling pressure, and technical breakouts.
Q: Is a short squeeze likely?
A: Neutral funding rates suggest balance, but rising short interest could trigger a squeeze if prices climb.
Q: How strong is $2.53 as support?
A: Critical—its transition from resistance to support confirms bullish control.
👉 Expert insights on XRP’s next moves
Conclusion
XRP’s technical strength, derivatives rebound, and institutional absorption set the stage for a breakout. Watch $3.01** and **$4.40 as pivotal levels, with $2.53 acting as the new support floor.
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