XRP Update 🚨 — Open Interest Dumps 59% — What It Means

According to Glassnode data, XRP’s futures open interest (OI) plunged from about 1.7 billion XRP in early October down to ~0.7 billion XRP — a dramatic ~59% crash.
At the same time, the 7-day average funding rate slid from ~0.01% to just 0.001%, showing that speculative long-bets have almost evaporated.

Meanwhile, the share of XRP supply currently in profit has fallen to 58.5% — the lowest since November 2024. As a result, roughly 41.5% of all XRP (~26.5 billion coins) now sit underwater despite XRP trading ~4× higher than in late 2024.

🔎 What’s the takeaway?

The sharp OI drop likely reflects a broad “wash-out” of leveraged positions — many traders closed long positions, fearing further downside.

The tiny funding rate signals waning bullish conviction; longs no longer pay to hold.

With so many coins underwater, the market looks “top-heavy” — dominated by late buyers who entered near the highs. That makes the structure fragile: any negative news or further price slide might trigger panic selling or capitulation.

⚠️ For those trading or holding XRP now:
This could mark a consolidation or even a deeper correction. If market sentiment doesn’t recover, XRP may remain range-bound or slide further.