- XRP currency under pressure amid outflows of capital

Derivatives and institutional digital asset products are seeing a decline in demand, reflecting the continued risk aversion in cryptocurrency markets. The Crypto Fear and Greed Index, which settled at 15 points in the extreme fear zone on Friday, reinforces this caution among investors.

Crypto Fear and Greed Index | Source: Alternative
Open trading volume in XRP futures contracts stood at $2.64 billion on Friday, recording a slight drop from $2.66 billion on the previous day. This contraction indicates the continued decline in risk appetite among market participants.

The persistent weakness in derivative demand confirms a drop in confidence in XRP’s near-term outlook. As a result, traders are increasingly closing their existing positions rather than opening new buy positions, increasing downward pressure on the asset.

Daily trading information for XRP futures contracts | Source: CoinGlass
Meanwhile, the slight inflows into spot XRP exchange-traded funds (ETFs) did not bring about any bullish reversal. SoSoValue data indicates that total inflows were $2.55 million on Friday, following weak activity the day before.

If the headwinds persist and demand is outstripped, the ongoing bearish trend could accelerate losses toward their recent lows of $1.05 and the psychological support level at $1.00.
$XRP