Recent statistics reveal that the interest in XRP has surged, with futures volume on the Chicago Mercantile Exchange (CME) reaching unprecedented levels. This trend signals an increasing demand for XRP among institutional investors.
XRP Futures Volume Exceeds $1.6 Billion
As revealed by CME Active Trader, the official social media account of CME Group, Friday marked a historic peak in combined XRP and Micro XRP futures volume. CME Group is recognized globally as a premier derivatives marketplace, facilitating regulated trading in various asset classes, including a growing range of cryptocurrencies.
Bitcoin futures became part of CME’s offerings in 2017, followed by Ethereum in 2021, and XRP futures were introduced just this May, showcasing the platform’s expansion in the crypto derivatives space.
The futures contracts can be categorized into two sizes: the standard XRP futures contract, which consists of 50,000 tokens, and the Micro XRP contract, comprising 2,500 tokens. This allows for greater versatility among traders looking to engage with different volumes.
On the record-breaking day of July 11th, over 9,100 contracts were executed on the CME, corresponding to more than 82 million XRP tokens, valued at around $235 million. “This record highlights the escalating demand for our new XRP futures offerings,” commented CME Active Trader in their post. Since inception, the cumulative notional traded has soared to $1.6 billion.
CME Group’s reputation as a trusted derivatives exchange attracts institutional traders, which adds substance to the observed increase in futures trading volume on this platform.
However, it’s important to note that the futures trading landscape is just one aspect of the broader market. Let’s delve into comparative metrics concerning the asset across multiple platforms, as sourced from Glassnode data:
Despite the spike in activity, recent trends signal a decrease, with futures volume across various exchanges down by over 40% in the last 24 hours. Nevertheless, cumulative daily volume remains robust at $8.4 billion, preceded only by Solana at $9.1 billion among major altcoins. Bitcoin leads the pack with a staggering $78.6 billion in volume, although its market cap ratio is lower than that of XRP.
Currently, positive funding rates across the board indicate ongoing bullish sentiments. Notably, Dogecoin and Tron are reaping the most optimistic speculative bets, with funding rates of 0.0143% and 0.0121%, respectively.
XRP follows closely with a funding rate of 0.0113%, suggesting that, while trading activities may have waned, overall sentiment regarding the asset remains decidedly favorable.
Market Performance and Price Trends
Over the past week, XRP has achieved an impressive increase exceeding 24%, pushing its price to approximately $2.95.
