Open Interest Plummets... XRP Loses Momentum!

▲ XRP/AI-generated image ©

XRP (Ripple) continued to trade sideways around $1.40, with both individual and institutional investors adopting a wait-and-see approach, making a clear slowdown in upward momentum evident.

According to investment media outlet FXStreet on May 4 (local time), XRP is currently forming a box range between the $1.30 support level and the $1.40 resistance level, maintaining a limited upward trend. The price is attempting to rebound while staying within the $1.40 supply zone, but it has failed to establish a strong trend due to weakening demand.

Supply and demand indicators clearly reflect the market's cautious stance. XRP futures open interest remains at approximately $2.5 billion, a significant decrease from the $10.94 billion recorded in July 2025. This suggests that retail investors remain skeptical about the sustainability of short-term gains.

Institutional fund flows have also weakened. According to SoSoValue, XRP spot ETFs recorded a net outflow of $35,210 last week. While cumulative net inflows remain at $1.29 billion and assets under management at approximately $1.06 billion, the recent trend indicates a clear slowdown in fund inflows.

Technically, the direction is also limited. XRP is trading below the resistance zone where the 50-day exponential moving average at $1.41 and the Bollinger Band midline overlap, limiting its upside. The Relative Strength Index (RSI) is consolidating around the neutral line of 50, and the Moving Average Convergence Divergence (MACD) has slightly moved into negative territory, indicating a lack of clear momentum.

On the upside, the $1.41, $1.47, and $1.50 levels are presented as key resistance zones, and a breakthrough could open up room for an increase to $1.74. Conversely, on the downside, $1.36 serves as the primary support level; if this zone breaks down, selling pressure could intensify again, increasing the likelihood of further correction. The market is assessed to likely continue its sideways trend without clear direction for the time being.

*Disclaimer: This article is for investment reference only, and we are not responsible for investment losses based on it. The content should be interpreted for informational purposes only.*