Here’s all about XRP’s biggest derivatives sell-off of the year!

Activity around XRP is very interesting right now.

Futures activity has been heating up and bigger hands seem to be stepping in. However, sell pressure in the derivatives market is the highest it’s been in a while. So, it’s a tug of war between buyers and sellers right now.

XRP sell pressure hits YTD high

The timing here is interesting. Especially since Binance net taker volume recently fell to -$96 million. This is the strongest selling push the market has seen this year.

Traders would usually step away, but things might be different this time. In fact, Binance Open Interest (OI) went up by about 14.8%, suggesting that new positions are still being opened!

For context, XRP recently recovered with strength from its latest lows. 

Futures flow is seller-dominated

Now, consider the ones that are actively pushing that flow.

The latest 90-day Taker CVD reading showed “sell dominance.” This basically means that more traders are hitting the sell side instead of waiting for buyers to come to them.

That fits with the pressure already visible in Binance net taker volume. So, while XRP has put up a strong front, the Futures market is still leaning bearish underneath.

And… it’s not just the sellers

Whale orders might be back!

XRP’s Futures average order size showed large whale orders coinciding with the price rebound. This implied that the market does not entirely consist of smaller participants right now.

Meanwhile, the Futures volume bubble map climbed into the heating and overheating zone. So, participation is clearly picking up on both sides. The catch? Taker flow seemed to be seller-dominated.

While XRP might have more money and more activity, the setup isn’t quite bullish yet.

What’s next for XRP?

It all comes down to which side can hold longer.

Buyers still have some support, but derivatives sellers have been pushing back hard. If that keeps building, XRP may spend more time consolidating than rising.

On the other hand, the growing number of short positions may be risky for sellers. If XRP keeps holding up and buyers push the price higher, shorts could start getting squeezed.

Final Summary

• XRP derivatives sell pressure now at a YTD high, despite rise in OI and whale activity.
• Next move depends on demand absorbing Futures selling or triggering a short squeeze.