XRP News Today: DOGE, XRP Futures Surge 63.9%, 41.6% Despite Price Slowdown

Generated by AI AgentCoin World
Wednesday, May 14, 2025 8:32 am ET1min read
DOGE
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Speculative bets are increasingly being placed on XRP and Dogecoin (DOGE) futures, even as the spot prices of these cryptocurrencies show signs of losing momentum. This trend indicates a rising appetite for volatility and downside risk among traders.

In the past week, the open interest in DOGE futures surged from $989 million to $1.62 billion, marking a 63.9% increase. Despite this surge, DOGE's price has only risen by nearly 40% in the past week, trading at just over 23 cents. This decoupling between price momentum and open interest suggests that traders are maintaining speculative positions even as the price gains slow down.

A similar trend is observed in XRP, where open interest rose by over $1 billion, or a 41.6% increase over the same period. Unlike DOGE, XRP has seen relatively lower spot gains, rising from around $2.14 to $2.6 in the past week. This indicates a broader uptick in derivatives-fueled speculation, particularly in high-beta assets. When open interest rises alongside or in the absence of price action, it often reflects traders positioning aggressively for upside potential.

However, this aggressive positioning sets the stage for sharper liquidations if sentiment flips. A recent liquidation event earlier this week demonstrated how quickly hundreds of millions of dollars can be wiped out in hours. Open interest, which tracks the total value of outstanding futures contracts, is widely used as a proxy for speculative activity. When paired with flat or fading price action, rising open interest can signal that leverage is outpacing conviction—a pattern that has preceded flash crashes in the past.

Earlier this year, DOGE futures set record highs as some traders speculated on a $1 DOGE in 2025. That narrative has cooled, but the current surge in futures bets indicates that memecoin and XRP exposure remains high-risk, high-reward territory. This trend underscores the speculative nature of the market and the potential for significant volatility in the coming weeks.