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The two bullet events ever imagined by XRP (XRP) driver occurred in 2025, but XRP below average the cryptocurrency market. On March 6, XRP was listed as a candidate for the United States' Digital Asset Reserve, and Ripple Labs included a protracted -term grievance with the US Securities and Exchange Commission on May 8.
XRP/USD (blue) against crypto market capitalization. Source: Tradingview / Cintelegraph
XRP fell by 6% within the three months before May 22, while the general capitalization of the crypto market rose by 10%. The dealers are still too longing for a rally from 45% to $ 3.50, whereby the metrics of derivatives signal increasing trust.
Use the usage of ramps in front of the potential Spot XRP ETF list
The aggregated open interest in XRP futures on large stock exchanges rose on May twenty second to 923 million XRP to extend 31% in comparison with two weeks. The position of two.2 billion US dollars within the futures markets signals growing rates of interest from dealers, but isn’t necessarily optimistic, since these instruments may also be used to take a position down the XRP price.
Some dealers argue that the increased demand for lit XRP positions indicates a growing institutional interest, especially when several issuers submitted a spot XRP Exchange Fund (ETF) within the USA. However, the ultimate decision by the US SEC was to be made in October.
An excessive demand for bullish fog XRP results in a positive financing rate, which suggests that longs (buyer) pay the support costs. Since cryptocurrency dealers are generally optimistic, an annual financing rate of seven% to 14% is predicted in neutral markets, while Fomo periods can increase the indicator over 50%.
The annualized financing rate rose to 19% on May twenty second and approached the very best level in six months. Nevertheless, the present level of optimism isn’t with almost 100% annualized financing rate of December 4, 2024, which followed a powerful 7-day rally from USD 1.33 to USD 2.90. The current level is way from being bears and leaves space for bullish positioning on the XRP Futures markets.
Favorable regulation opens the door for brand new partnerships and acquisitions
Part of the limited XRP price could be explained by the multiple rejections of the US Senator Cynthia Lummis, the chairman of the Senate of Banking Senate via digital assets, to satisfy with Ripple representatives. The CEO of Ripple, Brad Garlinghouse, asked on May 19 that the legislator “is considering and leading for all crypto” and discussed: “How to make the USA a crypto capital of the world”.
There is nothing that forestalls XRP from reaching 3.50 US dollars and even higher, since Ripple Labs aren’t any longer exposed to direct threats to regulatory authorities, which paves the best way for partnerships and acquisitions. Historically, XRP reacted very positively after these announcements, and the open interest of $ 2.2 billion could help catapult the XRP price over the present USD 3.25 ever.
This article serves general information purposes and mustn’t be considered legal or investment advice. The views, thoughts and opinions which are expressed listed below are solely that of the creator and don’t necessarily reflect the views and opinions of cointelegraph or don’t necessarily represent them.
