Key facts
- XRP options volume surged 350% in 24 hours, surpassing Bitcoin and Ethereum.
- The CLARITY Act vote is scheduled for today, potentially offering regulatory clarity for XRP.
- XRP derivatives trading volume increased to $5.52 billion, with open interest at $3.12 billion.
- Short liquidations for XRP reached $7.85 million, suggesting a potential short squeeze.
- Analyst CasiTrades projects XRP could reach $2.02 if the CLARITY Act passes, but warns of resistance between $1.74 and $1.78.
- Key support levels for XRP are seen at $1.65, $1.09, and $0.87.
XRP has become the leading cryptocurrency in derivatives trading, with options volume surging nearly 350% in the last 24 hours, surpassing Bitcoin and Ethereum. This heightened activity is attributed to traders positioning themselves ahead of a potential vote on the CLARITY Act in the Senate today. The CLARITY Act aims to establish a digital commodity framework, which could provide regulatory clarity for XRP's status in secondary markets.
According to CoinGlass, XRP's derivatives market saw trading volume rise 97.18% to $5.52 billion, while open interest increased by 4.65% to $3.12 billion. XRP options open interest specifically grew by 7.93% to $98.59 million. Liquidation data further supports a bullish outlook, with $7.85 million in short liquidations compared to $5.92 million in long liquidations over the past 24 hours, suggesting that traders betting against XRP were forced to cover their positions.
In comparison, Bitcoin's options volume and open interest saw more modest gains, while Ethereum's overall derivatives volume grew but its open interest saw a slight decrease. The CLARITY Act cloture vote is scheduled for 2:15 p.m. ET today. While a successful vote would allow for debate on the bill, it does not guarantee its passage. Senator Cynthia Lummis has emphasized the urgency of the vote, stating "it’s now or never." Despite support from some Democrats and potential protections for self-custody, banking groups and New York state attorneys general have voiced opposition.
Crypto analyst CasiTrades noted that XRP is consolidating below a critical resistance area. She projects short-term targets of $1.74 to $1.78, a potential 25% increase from its current trading price of around $1.43. A further rally could push XRP to $2.02. However, she cautioned that the $1.74 to $1.78 range presents "HEAVY resistance," and a rejection at this level would not necessarily indicate market weakness. Key support levels are identified at $1.65, with further support at $1.09 and $0.87 if this level fails to hold.