XRP cryptocurrency prices dropped by 16.8% from February 23 to 26, leading to $79 million in futures liquidation. This decline occurs amid positive expectations for approval of a spot exchange-traded fund (ETF) in the USA.
Sharp Decline in Prices and Open Interest
Analysis shows that open interest in XRP futures reached a record low in 2025, indicating declining trader interest. Open interest in XRP futures fell by 8% in just a week, while Solana dropped by 4% and Dogecoin remained flat.
Rate Analysis and Current Markets
Funding rates for perpetual contracts have remained near zero since December 9, reflecting a balanced leverage demand from bulls and bears. This signals market stabilization after a buying surge in December 2024.
Legal Issues and Regulatory Impact
The ongoing SEC lawsuit creates uncertainty for investors. While some cases against Coinbase and other platforms were withdrawn, Ripple remains an exception. A positive outcome could lead to a sharp rally in XRP.
The decline in interest in XRP is due to several factors, including legal uncertainties and regulatory issues. However, there is potential for positive developments and strengthening of XRP’s market position.
