XRP Leverage Falls to Lowest Level Since 2024
XRP is trading around $1.08, while activity in the futures market continues to slow. Analysts say leverage has dropped to its lowest level since 2024, creating a market structure that looks similar to the period before XRP's major rally.
Daily trading volume is around $1.21 billion, and XRP has a market capitalization of $67.69 billion, making it one of the largest cryptocurrencies.
Why Are Analysts Watching This?
Crypto analyst Crypto Patel says Binance's Estimated Leverage Ratio has fallen sharply. This means traders are using less borrowed money to open futures positions.
Lower leverage can reduce market risk and create a healthier trading environment. It also shows that many speculative positions have already been closed after recent price corrections.
However, analysts warn that history does not always repeat. A similar setup does not guarantee another big rally.
XRP Shows Similarities to 2024
In 2024, XRP traded near $0.40 when leverage reached very low levels. After that, the cryptocurrency surged by more than 790%.
Today, the market is showing similar signs. Even so, analysts say future price movement will depend on investor demand, overall crypto market strength, and macroeconomic conditions.
Key XRP Price Levels to Watch
Technical analysts are closely watching these important levels:
- Resistance: $1.19 to $1.42
- Support: $0.74
A move above the resistance zone could signal a stronger bullish trend. If selling pressure increases, XRP could fall back to test the $0.74 support level.
Although XRP's leverage data looks similar to the setup before the 2024 rally, the price trend is still weak. XRP continues to make lower highs and lower lows, meaning the downtrend has not fully ended.
For now, traders should watch whether XRP can break above the $1.19–$1.42 resistance area. Market demand and overall crypto sentiment will likely decide XRP's next major move.
Disclaimer: This article is for informational purposes only and should not be considered financial or investment advice. Always do your own research before investing in cryptocurrencies.
