Market liquidates $401M longs as XRP falls, open interest jumps

XRP open interest jumped as the price fell to $1.33. Leverage rose. Volatility risk increased. Longs took most losses.

Community analyst Maartunn flagged the intraday spike in open interest while spot fell, signaling fresh positions on centralized derivatives venues source. First move was in XRP.

Higher open interest means more leverage. That raises the odds of large liquidation moves. CryptoQuant also saw open interest rising in Bitcoin source.

Exchanges booked $450 million in liquidations over the latest drop. About $401 million came from longs CoinGlass.

XRP traded near $1.33 after the selloff, per the same report.