While speculative positions in XRP and Dogecoin (DOGE) futures contracts are increasing rapidly in the cryptocurrency market, the loss of momentum in spot prices is noteworthy.
This situation shows that investors have started to use more leverage to counter the increased volatility appetite and downside risks.
According to data shared by on-chain analytics firm Glassnode, DOGE futures open interest increased by 63.9% in the last week, from $989 million to $1.62 billion. During the same period, the DOGE price gained about 40%, rising above the $0.23 level.
Related News: Seasoned Analyst Evaluates ETH, XRP, DOGE and SOL – Where Are Critical Resistance and Supports?
“This divergence shows that speculative positioning continues despite weakening price momentum. This situation should be monitored carefully,” Glassnode said in a statement on social media platform X.
A similar trend is observed on the XRP front. Open interest in XRP futures increased by 41.6% in a week, from $2.42 billion to $3.42 billion. However, the increase in the XRP price was more limited compared to DOGE, rising from $2.14 to $2.6.
Glassnode’s data also shows a remarkable movement in the Bitcoin spot market. Bitcoin’s 7-day moving average spot trading volume increased, reaching $5 billion as of yesterday. This increase represents a “net buying” demand that has only been seen a few times this year. Analysts say this shows that the psychological threshold of $100,000 is supported by real spot buying.
*This is not investment advice.
Continue Reading: Analysis Firm Warns About XRP and DOGE – “Speculative Positions…”
