XRP Derivatives Reset Deepens as Binance Holds Firm

Open interest in $XRP derivatives on Bybit fell to its lowest level since February after the latest cryptocurrency market sell-off, according to data from CryptoQuant analyst Amr Taha. The exchange’s $XRP open interest dropped to $181 million, reflecting a sharp decline in outstanding futures positions.

The move came as $XRP recovered from a recent low near $1.055 to trade above $1.14. While open interest on Bybit fell during the market downturn, leverage levels on Binance remained relatively high. The contrast shows traders on the two exchanges reacting differently to the recent volatility, with more positions unwound on Bybit than on Binance.

Bybit Sees Major Leverage Washout

In his analysis, Amr Taha said Bybit’s $XRP open interest has fallen sharply, dropping from about $283 million on May 22 to $181 million. The level marks a decline of roughly 36% from its recent peak and the lowest reading since February 13.

The drop came alongside a series of liquidation events during $XRP’s decline, with several long positions wiped out for more than $3.5 million, according to market data. The move suggests that traders using high leverage were forced out as prices fell.

On Binance, however, $XRP open interest held firmer. The figure stood near $246 million, only slightly below a recent peak of about $252 million recorded on June 2, pointing to a different trading response across the two exchanges.

Futures trading in $XRP rose during the recent sell-off, with Binance recording about $1.85 billion in volume on June 5, according to market data. Bybit followed with roughly $727 million in trading activity.

OKX and Bitget added about $429 million and $423 million respectively, bringing combined futures volume across the four exchanges to around $3.43 billion. Binance accounted for roughly 54% of the total.

Related: $XRP Price Prediction: Can Bulls Defend $1.10 as Selling Pressure Intensifies?

Volume Surge Quickly Loses Momentum

CryptoQuant analyst Arab Chain who reported earlier said Binance’s $XRP Volume Z-Score rose to nearly 4.5, the highest level in four months, before reversing sharply.

The indicator later fell to around -0.70, suggesting a rapid cooling in trading activity after the initial spike. During the same period, $XRP’s price slipped toward $1.13.

Arab Chain said the move likely reflected investors repositioning amid higher volatility rather than sustained buying demand.

Analysts Watch for a Potential Cycle Bottom

Market analyst ChartNerd said past $XRP bear markets have typically lasted between 400 and 790 days, based on historical price cycles.

Source: X

He added that, if similar patterns repeat, a market bottom could form before the end of the year. He also cautioned that the outlook is based on historical behavior and should not be taken as financial advice.

Related: Crypto Market Watch: CPI and Macro Data Take Center Stage