TL;DR
- XRP is seeing intense demand on Binance as traders reduce exposure to Bitcoin and Ethereum and increase positions in the token.
- XRP briefly touched $2.41 after a strong surge fueled by renewed spot and derivatives interest.
- Institutional investment, ecosystem expansion and new real-world use cases on the XRP Ledger are boosting optimism among investors who view XRP as gaining momentum in the altcoin market.
XRP demand is rising strongly on Binance as traders rotate into the token while cutting back positions in Bitcoin and Ethereum. During Thursday’s session, XRP climbed around 5% and reached a high of $2.41 before easing slightly. Market analysts observed that futures activity on Binance shows an unusual divergence among major crypto assets, with traders closing longs in BTC and ETH while opening leveraged long positions in XRP. This behavior is being interpreted as traders seeking assets with stronger near-term upside potential, particularly as volatility returns to the broader market and traders look for assets with higher liquidity and faster settlement.
Data from CryptoQuant shows that Binance has become the focal point of this rotation. Open interest in XRP futures increased sharply over the last three days while the same metric for BTC and ETH declined. Spot buying on Binance also grew, with traders using minor pullbacks to accumulate XRP, signalling rising conviction. Historically, similar phases of accumulation have been followed by solid medium-term performance for XRP, especially during periods when alternative Layer 1 networks show renewed traction.
Rising Institutional Participation
Renewed institutional involvement is adding strong momentum. Ripple secured a $500 million strategic investment at a $40 billion valuation from leading global investors including affiliates of Fortress Investment Group, Citadel Securities, Pantera Capital, Galaxy Digital, Brevan Howard and Marshall Wace. Ripple also unveiled a collaboration with Mastercard, WebBank and Gemini to use the RLUSD stablecoin on the XRP Ledger to settle fiat credit card payments on chain.
Expanding XRP Ledger Ecosystem
The XRP Ledger continues to show strengthening fundamentals. RLUSD exceeded $1 billion in circulation and the network reached its 100 millionth ledger closure. Santiment data highlights more than 21,500 new XRP wallets created in a 48-hour span, the highest growth in eight months. Developers are also more optimistic after the announcement of Palisade, a wallet-as-a-service platform designed to simplify XRPL integration for fintechs and enterprises.
