Crypto: XRP open interest has fallen since July 2025

The XRP derivatives market has been contracting for several months. Since July 2025, open interest has been falling continuously, a sign of a gradual disengagement from leveraged positions. This movement, discreet but structuring, is accompanied by a clear slowdown in aggressive demand. Behind these data, a phase of decline in leverage is emerging, with direct implications on market dynamics.

A massive disengagement of the lever since the 2025 peak

Since its peak reached in the summer of 2025, the XRP derivatives market has entered a continuous decline phase. Indeed, “open interest on XRP has been declining since July 2025”which constitutes the signal of a gradual disengagement from leveraged positions.

This movement is part of a dynamic of brutal market contraction, marked by a significant reduction in traders' exposure.

The observed data allow us to measure the extent of this decline:

• A peak in open interest around $2.6 billion when XRP exceeded $3.20;
• A drop to around $900 million to $1 billion at the start of the year;
• A contraction of more than 60% in total leverage;
• A price which falls to around $1.39, in parallel with debt reduction.

This decline is largely explained by a wave of forced liquidations, which accelerated the closing of positions. Despite this contraction, certain platforms such as Binance continue to concentrate a significant part of the activity, which underlines that the market remains structured, even in a downturn.

A market losing speculative momentum

Beyond the contraction in leverage, other signals point to a weakening of active participation in the market. The data shows a decline in the net volume of acquisitions, reflecting a lack of aggressive initiatives in both buying and selling.

So, “aggressive demand remains weak”confirming a lack of conviction among traders. This gradual withdrawal does not only involve forced liquidations, but also voluntary closures of positions, in a context of increased caution.

This development marks a break with the previous phase, dominated by strong speculation and massive use of levers. The market now seems to be moving towards a more neutral regime, less dependent on derivatives. This transition could limit short-term volatility, while redefining price drivers around the spot market rather than leverage.

The XRP derivatives market is entering a phase of lasting decline, marked by the gradual disappearance of leverage and a decline in speculative activity. This transition redefines its balances. In this context, a contrast persists, as XRP falls despite a historic breakthrough with the SEC, highlighting a market still in search of solid catalysts.