Ripple’s price surged above $0.66 on March 25, marking a 17% increase within the week. Recent data from the derivative market indicates a growing interest in further upside potential for Ripple (XRP).

XRP’s open interest exceeded $1 billion for the first time in two weeks, reaching $1.02 billion on March 26. This surge in open interest signifies a net capital inflow of $150 million since the recent market dip on March 20.

The increase in open interest during a price recovery phase suggests that traders are optimistic about the current uptrend. This surge in capital inflow indicates a strong belief in the ongoing rally.

Ripple’s spot prices rose by 19.4% between March 20 and March 26, while open interest increased by 15%. This alignment indicates that the rally is primarily driven by organic spot demand rather than speculative trading in the futures market.

CoinGlass’s funding rate metric shows that bullish traders have doubled their leveraged positions in the past 72 hours, with the funding rate increasing from 0.01% to 0.02%. This suggests a growing appetite for risk-taking among traders, anticipating further price increases.

Drawing insights from the surge in leveraged positions, organic spot demand, and potential hedging strategies from short traders, XRP’s price is poised for a potential breakout above $0.75. The relative strength index (RSI) also supports this bullish forecast, indicating room for further growth before approaching overbought territories.

If XRP can surpass the significant resistance at $0.70, a breakout towards $0.75 could be in the cards. However, in a bearish scenario, the $0.57 support level will be crucial to watch for a potential market downturn.

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