Market watchers believe that the sharp increase in open interest in XRP contracts reflects a rise in speculative activity, hinting at the possibility of a price breakout in the near term, as the currency is trading around the $2.20 level on Tuesday morning.
Ryan Li, Senior Market Analyst at Bitget, said: "Open interest in XRP jumped to nearly $5 billion (over the weekend), indicating increased speculative activity as traders take large positions in the derivatives market."