XRP Breaks Below $1.30 Support as Open Interest Drops 23%

XRP has fallen below the $1.30 support level following a failed breakout attempt above the $1.50 resistance zone. Despite continued inflows into spot ETFs, declining derivative open interest suggests uncertainty about short-term demand sustainability.

AMBCrypto reported XRP dropped from $1.42 to $1.28 over 15 hours, a decline of approximately 9.86% (the source cited 9.82%). In derivatives markets, XRP open interest fell from $1.128 billion at the end of August to $871 million at the analysis point, representing a $257 million decrease or 23% drop.

Open interest refers to the total value of unsettled futures and derivative contracts. While the decline indicates possible liquidation activity, it does not confirm whether long or short positions decreased. Spot ETF inflows remained positive throughout September, though AMBCrypto noted that falling Bitcoin (BTC) prices and potential interest rate hikes pressured XRP.

Technical analysis suggests $1.30 has shifted from support to resistance. Failure to reclaim this level could indicate a breakdown in short-term price structure. AMBCrypto maintains XRP's daily swing structure remains bullish but warns of a potential pullback to $1.14 if spot and futures demand weakens.

Exchange holdings have stabilized around 2.6% after declining from April through July. A further decrease could signal accumulation outside exchanges, while rising exchange supply during price declines may weaken the current bullish outlook. Market participants should monitor whether XRP recovers $1.30, attempts to retest the $1.50 resistance zone, and continued open interest reduction.