“Leverage 97% Evaporates”...XRP, Futures Selling Pressure -$882.1 Million

▲ XRP, Cryptocurrency Whale/AI Generated Image

While XRP has fallen by about 19% from its peak, leverage positions have sharply decreased, but selling pressure remains strong.

According to The Crypto Basic on September 1 (local time), XRP rose to $1.69 in an uptrend two weeks ago but has since fallen to $1.37. The decline was approximately 19%. During the same period, Binance's XRP open interest decreased by 27.2%, from $323 million to $235.3 million. Open interest decreased faster than the price, indicating that investors significantly reduced their leverage exposure during the decline.

Most of the leverage accumulated during the August uptrend has disappeared. Binance's XRP open interest increased by approximately $90 million from about $232.7 million on August 17 to $323 million on August 22. It then decreased to $235.3 million, meaning about 97% of the open interest that had increased at that time was resolved. However, the media explained that a decrease in open interest alone cannot confirm that all liquidated positions were long.

Selling pressure was clearly visible in the Cumulative Volume Delta (CVD) of perpetual futures. Binance's perpetual futures CVD dropped from approximately -$480 million on August 22 to -$882.1 million on August 31. The magnitude of selling dominance expanded by about 84% and is the lowest level since July 2026 based on observed data. Spot CVD also plummeted from approximately $39 million to -$167.5 million, recording a negative change of about $206.5 million.

A decrease in leverage does not immediately guarantee an XRP rebound. While the risk of leverage has decreased compared to August 22 as excessively concentrated positions were cleared, the perpetual futures CVD of -$882.1 million and spot CVD of -$167.5 million indicate that selling pressure continues. The Crypto Basic analyzed that easing selling pressure and improving order flow in spot and derivatives markets are necessary for a sustained recovery.

[Article Key Summary]

-While XRP fell by about 19% from $1.69 to $1.37, Binance's open interest decreased by 27.2%.

-Approximately 97% of the XRP open interest that increased during the August uptrend was resolved, but perpetual futures CVD worsened to -$882.1 million.

-Leverage risk has decreased, but strong selling pressure continues in both spot and derivatives markets, so a rebound is not guaranteed.

*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.*