XRP Binance Open Interest Drops 15.3% Amid Reduced Leverage
XRP's Binance open interest has dropped 15.3% from its six-month high, indicating that traders have reduced leverage and derivatives positioning. This decline occurred despite the fact that the XRP price has only fallen 5.2% from its corresponding high, suggesting that derivatives positioning has cooled faster than the spot price.
The CryptoQuant Quicktake shows that Binance XRP open interest fell from a six-month high of $616.1 million on September 22 to $521.5 million on September 29. During this period, the XRP price closed at $1.490, compared to its six-month closing high of $1.572 on September 22.
The data also reveals that long liquidations averaged $3.72 million per day from September 24-29, which is roughly 2.6 times the six-month daily average of $1.43 million. This indicates that part of XRP's recent derivatives buildup has been cleared without an equivalent drop in price.
The estimated leverage ratio on Binance fell from 0.230 to 0.197, while funding also eased. Binance reserves averaged 2.68 billion XRP, about 2.4% above the 90-day baseline, as network transactions rose 23% week over week.