XRP News Today: XRP Lags Behind Ethereum, Dogecoin with 4% Gain as Market Sentiment Remains Cautious

XRP, a cryptocurrency that has historically been close to the major players in the market, has recently shown signs of lagging behind. On the weekly timeframe, XRP isn’t far behind the major caps, but zoom out to the monthly timeframe and the divergence becomes clear. While Ethereum [ETH] flexed with a strong 40% rally, and even Dogecoin [DOGE] delivered a solid 20%+ ROI, XRP’s move was much more muted. It quietly ticked up around 4%, landing near $2.30 at press time. This trend is particularly notable as other cryptocurrencies have seen increased activity and investment.

From a rotation standpoint, XRP is still struggling to grab attention. The XRP/BTC pair confirms the story. The ratio has been grinding lower for ten days straight, sliding back to early-February support levels. That selloff really drives the point home. While the big names are still holding onto their gains from the (May 8-13 window) when Bitcoin [BTC] ranged near $103k, Ripple has already given back all its gains against Bitcoin. No surprise, it’s stuck in a tight range below $2.50. Even with 2,524 fresh whale wallets (holding 10k+ XRP) added during the same timeframe, pushing total whale count to a record 302,197, the price barely budged. Bottom line? Accumulation is happening, but it’s not translating into momentum, yet.

Ripple’s epic November rally last year capped off Q4 with a staggering 266% ROI, earning it the crown as the “best performing asset.” But behind the scenes, it wasn’t just spot traders cashing in. Instead, derivatives were the real rocket fuel. By mid-January, XRP’s Open Interest (OI) blasted off to an all-time high near $8 billion, perfectly syncing with its $3.40 yearly peak. Since then, OI has settled into a range between $3 and $5 billion, showing the market cooling off. Meanwhile, Ethereum’s OI hit a record $33 billion on the 23rd of May, adding nearly $13.5 billion just this month. Solana [SOL] is closing in on its $8.57 billion peak, adding nearly $3 billion in May alone. The message is loud and clear: Futures liquidity and trader attention have rotated hard into alternative assets, leaving XRP stuck on the sidelines, gasping for momentum.

Unless rotational and speculative capital rotate back into XRP’s corner, the token could stay range-bound. Even with solid fundamentals, while its rivals keep pushing new highs against BTC, Ripple might just stay off the main action for now. The lack of significant price movements in XRP, despite the rise in futures activity, suggests that traders are cautious about the cryptocurrency's potential for volatility. This cautious approach could be due to various factors, including regulatory uncertainties and market sentiment. The muted gains in XRP's price, coupled with the slipping XRP/BTC ratio, indicate that traders are not fully convinced of the cryptocurrency's potential for significant price appreciation in the near future.

The overall market sentiment towards XRP appears to be mixed, with some traders showing interest in the cryptocurrency while others remain cautious. The lack of a sharp breakout in XRP's price, despite the rise in futures activity, suggests that traders are waiting for more concrete signals before making significant investments in the cryptocurrency. This cautious approach could be due to various factors, including regulatory uncertainties and market sentiment. In conclusion, while XRP has shown signs of lagging behind other major cryptocurrencies, there is still interest from traders in the region. The muted gains and slipping XRP/BTC ratio suggest that traders are cautious about the cryptocurrency's potential for significant price appreciation. However, the growing interest from Singaporean investors indicates that there is still potential for XRP to gain traction in the market.