XRP Funding Rates Explode Amid Rising Derivatives Exposure
XRP's Funding Rates skyrocketed by over 200% today as its Open Interest (OI) rose significantly, indicating a bullish sentiment among derivatives traders.
The token's Funding Rate, which is a fee set by crypto exchanges to maintain balance between the perpetual contract price and the underlying asset price, increased to 0.03059 at press time, up 211.23% over the last 24 hours, according to data from CryptoQuant.
This surge in Funding Rates coincided with a rise in XRP's OI, which reached approximately $883.8 million, an increase of over 7.6% during the past 24 hours.
XRP's price has been under pressure lately, having dropped below the crucial psychological support level of $1 for the first time since November 2024 on August 11, but a bullish derivatives market and renewed demand in its spot market could trigger a potential reversal.