XRP (CRYPTO: XRP) is up 3% to $2.46 on Monday, recovering from a three-week slump that wiped out almost 30% of its value as derivatives activity spiked sharply.
Whales Return As XRP Outflows Finally Slow
XRP Netflows (Source: Coinglass)
After two weeks of relentless redemptions, XRP's bleeding phase appears to be cooling.
Data from Coinglass shows cumulative spot outflows of more than $350 million in the first half of October have now reversed into modest inflows totaling $9 million this week.
Whale accumulation has returned, with $6.4 million in inflows recorded on Oct. 20 alone, hinting that large holders are repositioning ahead of upcoming ETF-related developments.
XRP Futures And Options Activity Explodes To Record Levels
XRP Derivative Analysis (Source: Coinglass)
Open interest in XRP futures rose 3.8% over the past day to $3.68 billion, while options open interest spiked nearly 91% to about $500 million.
Daily options volume also jumped 132%, marking one of the steepest activity surges since July.
Binance's long-short ratio remains above 2.6, showing traders are leaning bullish despite broader market caution.
Traders say this setup mirrors a "coiled volatility" phase, where leveraged positions amplify both breakout potential and downside risk if the price fails to hold key support.
Technical Picture At A Crossroads
XRP Price Analysis (Source: TradingView)
Technical Analysis: On the daily chart, XRP trades inside a contracting triangle pattern with clear resistance between $2.75 and $2.80, coinciding with the 50-day and 100-day EMAs.
The $2.35 level serves as critical trendline support.
A sustained breakout above $2.80 would likely open the path toward $3.20, aligning with the upper Bollinger Band and descending trendline from the July high.
Conversely, a failure to maintain $2.35 could trigger a drop toward $2.10, where historical demand reemerges.
ETF Decision Could Be Catalyst For XRP's Next Big Move
Market watchers note that XRP's volatility contraction, coupled with surging derivatives positioning, points to an imminent decisive move.
If whale inflows persist and the long-awaited ETF decision resumes after the U.S. government shutdown, XRP could reclaim its bullish momentum toward $3.20–$3.30.
For now, technicals remain balanced — firm support at $2.35 against mounting speculative bets that could either fuel a breakout or intensify a reversal.
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