Leverage Fuels XRP Rally, $1.10 Support Under Threat

XRP's recent market structure has been sending mixed signals as activity shifts away from Spot trading and into the derivatives market. The price of XRP remained consolidated between $1.086 and $1.113, indicating neither buyers nor sellers had a decisive advantage.

Ordinarily, weakening Spot activity would reduce speculative interest, but despite this, Open Interest increased by approximately 5.9% to 423.8 million Ripple [XRP]. At the same time, the estimated leverage ratio for XRP rose to .162, according to CryptoQuant.

This divergence matters because derivatives can sustain positioning without introducing fresh capital into the market. As Spot inflows and outflows collapsed by roughly 99%, leveraged traders increasingly became the dominant force behind XRP's price discovery.