XRP Hangs Near $1 Amid Weakening Derivatives Market Indicators
XRP is hovering near the $1 mark after experiencing modest declines in the previous session. The cryptocurrency's derivatives market indicators are weakening, limiting its prospects for an immediate recovery.
The long-to-short ratio for XRP has declined to 0.94, with a reading below one indicating that short positions outnumber long positions. This suggests that traders are increasingly positioning for further price declines.
The funding rate for XRP has turned negative, with a reading of -0.0009%. Negative funding rates typically occur when bearish leveraged positions are more heavily concentrated than bullish ones.
XRP's open interest across the derivatives market has increased steadily since August, reaching approximately 2.64 billion tokens. This increase in open interest suggests that fresh capital is entering the market, strengthening the bearish outlook for XRP.