April has been highly dynamic for XRP. On the one hand, the token entered uncharted territory as it plunged below the $2 support and, on the other hand, saw its futures activity and noteworthy addresses skyrocket.
Specifically, the XRP futures trading volume skyrocketed to a monthly high of $21.6 billion late on Tuesday, April 8, recording a $500 million spike compared to Monday, per the data shared by the prominent on-chain analyst Ali Martinez in an X post.
The surge coincided with the listing of Teucrium 2x XRP ETF (XXRP) – a derivatives-based leveraged exchange-traded fund (ETF) that made headlines by preceding the approval of a spot XRP fund.
Under the circumstances, XXRP and the surge in futures trading may be linked as leveraged exchange-traded products frequently utilize these derivatives as part of their strategy.
Still, a significant portion of the volume could stem from individual traders as the number of addresses holding at least $1 worth of the token recently hit a new all-time high (ATH), as Martinez noted in a separate X post from April 9.
Is XRP headed for a major rally?
Whatever the case may be, the XRP futures activity does not appear alarming. There has been no noted spike in short positions, with the share of longs remaining just under 68%, per the data Finbold retrieved from Coinalyze at press time on April 9.
Lastly, recent trading and external factors ensure that the surge in volume and addressed do not guarantee that XRP is out of the woods. In the last week of trading, the token crashed 13.36% to its press time price of $1.83.
The downturn also ensured that, for the first time in 2025, XRP is decisively in the red year-to-date (YTD), having plunged 12.51%.
Though there are no guarantees it will follow the rest of the market, cryptocurrencies and stocks have, following what many describe as a ‘dead cat bounce’ on Monday, continued the downturn with the latest developments indicating more pain ahead.
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