XRP held at $1.39 this week despite a drop in leverage, with the token's market cap sitting at $85.7 billion and daily volume hitting $1.75 billion. The leverage ratio fell from 0.201 to 0.160 between mid-March and May 1 while prices stayed flat. Traders adjusted positions without sparking volatility in the world's sixth-largest cryptocurrency.
Regulatory Changes
The SEC wrapped up its case against Ripple in early 2025, paving the way for Franklin Templeton to file an XRP ETF application that same month. CME launched XRP futures in May 2025 with $19 million in first-day trading volume and live XRP options immediately available. This shift removed a years-long overhang for institutional players.
Institutional Money Shifts
CoinShares tracked wild swings in XRP product flows. It noted $119.6 million in inflows during the week of April 7, then $56 million in outflows the following week, and $25 million in inflows by April 24. Year-to-date flows hit $147.8 million, lifting total assets under management to nearly $2.6 billion. The churn showed institutions testing the waters after regulatory clarity.
Ledger Activity Spikes
On the XRP Ledger, daily payments jumped to 2.7 million in March. Automated market maker pools expanded to 27,000, and tokenized asset value on the network surged 35% over 30 days. These metrics signaled rising utility beyond simple token trading.
Open Interest Rises
Binance reported XRP open interest climbing to $450 million over 24 hours, a 1.7% increase, even as market leverage fell. Traders built positions without borrowing heavily, a sign of shifting risk appetite. The token's price didn't budge despite the activity spike.
Franklin Templeton's XRP ETF application now sits with the SEC, where a decision could open the floodgates for pension funds and retail investors.
