XRP has made headlines this week, recording an impressive 10% weekly gain—its largest uptick since a significant rally in late July 2025. As of the latest updates, the token is trading at approximately $2.63, marking a resurgence that has captured the attention of cryptocurrency traders and investors alike.
Riding the wave of this bullish momentum, XRP’s market dominance has surged to 4.22%, eclipsing the performance of other cryptocurrencies within the top 10 by market cap. The situation is further underscored by the success of the recently launched Rex Osprey XRP ETF, which crossed the $100 million mark in assets under management (AUM) within its first four weeks—a considerable feat for any exchange-traded fund.
This ETF, touted as the first of its kind in the U.S. to provide investors with direct exposure to spot XRP, reflects burgeoning institutional interest in the cryptocurrency sector. Its popularity aligns with XRP’s remarkable growth trajectory; over the past year, the token has delivered a staggering 355% return—outperforming both Bitcoin and Ethereum, particularly in the wake of the 2024 U.S. elections.
The outcome of the elections has generated optimism regarding regulatory developments in the crypto sphere. With the SEC’s lawsuit against Ripple resolved favorably, many investors are hopeful for a more supportive regulatory environment under the new administration. Yet, the regulatory landscape remains ambiguous, with the Genius Act offering some clarity for stablecoins while broader reform measures, such as the Clarity Act, face delays due to a government shutdown.
Despite the lack of comprehensive regulations, XRP’s rally has been bolstered by Ripple’s strategic branding move, rebranding Hidden Road to Ripple Prime. According to CEO Brad Garlinghouse, the shift aims to enhance accessibility to digital assets for institutional clientele—an initiative likely to bolster confidence among XRP holders.
Market Activity Reflects Mixed Sentiment
On the derivatives front, open interest surged from $3.49 billion to $4.26 billion, indicating a healthy uptick in trader interest. However, despite these signs of growth, whale activity has emerged as somewhat concerning. Major exchanges showed negative net spot flows amounting to $2.82 million across platforms like Coinbase and Binance.
Moreover, perpetual futures markets revealed net short positions exceeding $36 million, signaling that large holders may not be driving the current rally. Instead, it appears that retail investors have seized the opportunity to participate, creating a paradox where growing open interest contrasts with weak inflows from substantial market players.
The recovery is also visually reflected in figures, with open interest levels still far below the more significant peaks experienced earlier in the year. The October financial landscape was notably challenged, with a flash crash earlier this month causing the loss of more than $6 billion in open interest.
As the Federal Reserve is set to convene for an FOMC meeting on October 28 and 29, rate cut expectations may provide a further catalyst for XRP’s growth. Fresh developments hinting at a potential U.S.-China trade deal could also be pivotal, as increased risk-on sentiment often benefits cryptocurrencies, including the resilient XRP.
While XRP’s recent performance presents exciting opportunities, investors should remain cautious about the sustainability of this upward trend. As always, it is prudent to assess the interplay between technical signals and the overarching market environment before making investment decisions.
