XRP Hit By 59% Leverage Flush: Speculators Slam | XRP News

XRP’s derivatives market has undergone a marked regime shift, with leverage collapsing and funding normalising in a approach that indicators a clear retreat from aggressive speculative positioning. The strongest proof comes from Glassnode’s newest post on November 30, which frames the present section as a structural, not merely tactical, pause in XRP leverage.

XRP Derivatives Unwind Accelerates

“XRP’s futures OI has fallen from 1.7B XRP in early October to 0.7B XRP (~59% flush-out). Paired with the funding rate dropping from ~0.01% to 0.001% (7D-SMA), 10/10 marked a structural pause in XRP speculators’ appetite to bet aggressively on upside,” Glassnode’s CryptoVizArt wrote on X.

Open curiosity at 1.7 billion XRP in early October mirrored a closely leveraged market, with massive notional positions stacked in futures and perpetuals. The subsequent collapse to 0.7 billion XRP implies that round one billion XRP of derivatives publicity has been closed, liquidated, or in any other case unwound. Such a discount is not only a marginal trimming of risk; it’s a wholesale deleveraging that strips out a massive half of the speculative layer sitting on prime of the spot market.

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The funding-rate transfer is equally telling. A 7-day SMA round 0.01% had beforehand indicated a constant long bias, with merchants prepared to pay a recurring price to keep up leveraged upside publicity. The compression to roughly 0.001% pushes funding close to impartial. In perpetual futures, that transition sometimes happens when demand for leveraged longs fades and the market no longer tolerates a significant premium to carry long positions.

Glassnode’s description of October 10 crash as the purpose that “marked a structural pause” captures this shift in regime: the market moved from persistent long crowding to a far more cautious, balanced stance.
The November 30 post sits on prime of a broader context Glassnode has been documenting via November.

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In November 8, the firm highlighted how revenue taking has behaved during the current drawdown: “Unlike previous profit realization waves that aligned with rallies, since late September, as XRP fell from $3.09 (~25%) to $2.30, profit realization volume (7D-SMA) surged by ~240%, from $65M/day to $220M/day. This divergence underscores distribution into weakness, not strength.” Rather than de-risking into power, profitable holders have been realizing good points as price fell, reinforcing the deleveraging signalled by futures information.

On November 17, Glassnode turned to provide dynamics, noting that “the share of XRP supply in profit has fallen to 58.5%, the lowest since Nov 2024, when price was $0.53. Today, despite trading ~4× higher ($2.15), 41.5% of supply (~26.5B XRP) sits in loss — a clear sign of a top-heavy and structurally fragile market dominated by late buyers.” Those on-chain figures present the background to the 30 November derivatives snapshot: a market whose possession is skewed towards late entrants now sits on substantial unrealized losses, whereas the leverage that beforehand amplified upside has been largely flushed.

Taken collectively, Glassnode’s information on futures open curiosity and funding charges crystallise the present state of XRP: a violent 59% leverage reset, a near-neutral funding regime, and a speculative cohort that has stepped back from paying for upside, all layered on prime of a top-heavy holder base.

At press time, XRP traded at $2.04.

Featured image created with DALL.E, chart from TradingView.com