XRP's 44% rally over the past week has brought leverage rushing back into its derivatives market, just as the token starts to give up some of those gains.
Data from onchain analysis firm CryptoQuant's estimated leverage ratio for XRP on Binance has climbed to about 0.21, its highest since January. The measure compares derivatives open interest with exchange reserves, with higher readings showing more leveraged exposure building relative to the amount of XRP sitting on the venue.
On Binance, about two accounts were betting long on XRP for every one betting short on Wednesday, CoinGlass data shows. Among top traders, the ratio was closer to three-to-one, while OKX accounts were running roughly two longs for every short.
XRP futures generated about $6.4 billion of volume over the previous 24 hours, more than five times the roughly $1.2 billion traded on spot markets. Futures open interest stood at about $3.45 billion.
