XRP News Today: XRP Surges 53% as Speculative Interest Reaches $2.1 Billion

XRP is experiencing a significant price surge, retaking levels last seen in March, which has prompted traders to take long positions as the cryptocurrency approaches the $3 mark. This breakout event is fueled by a surge in speculative interest, with open interest reaching $2.1 billion, a level not seen since the post-inauguration rally. This increase in open interest suggests a return of retail liquidity, as traders actively participate in XRP price movements. The easing of recent negative sentiment has opened the door to bullishness, with traders positioning themselves for a potential upward move.

According to an analyst at CryptoQuant, Boris Vest, XRP futures data on Binance indicates that speculation is making a comeback. While the current open interest of $940 million is still far from the post-inauguration rally’s peak of $1.5 billion, it is parallel to the early onset of the post-election rally. This surge in open interest suggests that market participants may be positioning ahead of a potential upward move, with a Taker Buy/Sell Ratio reading of 0.91 reflecting aggressive selling that is being absorbed by the market.

The weekly surge in XRP's price coincides with a breakout from the falling wedge pattern that has defined the multi-month XRP price downtrend. If momentum continues, this pattern sets a breakout target around $4, representing a potential 53% surge from current prices. This outlook is supported by the MACD, which continues to widen its lead above the signal line, often an early sign of a sustained mid-term trend. However, the sharp upward move has pushed the RSI to near-overbought conditions at 69, and an upward move beyond this point could exhaust buying pressure and give way to a correction. A short-term correction is a natural next step to ensure the stability of the longer-term uptrend, with consolidation around the immediate $2.50 support serving as a necessary breather for the next leg up.

Looking further ahead, the coming month presents some major catalysts with the approval deadline of US XRP spot ETFs on June 17. Spot ETFs are viewed as key drivers of liquidity and institutional adoption for digital assets. After launching, BTC ETFs accounted for an estimated 75% of new Bitcoin investments. This approval could further fuel the bullish sentiment surrounding XRP, as it would provide a new avenue for institutional investors to gain exposure to the cryptocurrency.