XRP’s May performance was a rollercoaster of emotions for investors, ending with what many in the crypto community recognize as a classic sign of indecision. As May wrapped up, XRP formed a “doji” with a long upper shadow, hinting at market hesitation. Yet, while the market seemed unsure, bullish bets on the options exchange Deribit suggest that optimism is far from exhausted.
XRP’s Market Dance
Throughout May, XRP, the cryptocurrency leveraged by Ripple for cross-border transactions, had traders on the edge of their seats. According to TradingView, the doji pattern observed—a candle formation with a conspicuous upper wick—indicates a tug-of-war between bulls and bears. On one hand, the bulls managed to push XRP to a high of $2.65 early in the month. On the other, bears clawed back, pulling the price closer to the month’s opening levels.
This pattern often signals a potential reversal after an uptrend. With XRP’s rally from April’s lows of around $1.60 seemingly losing momentum, some traders hedged their bets by purchasing put options at a $2.40 strike expiring on May 30. Such options serve as insurance against price declines, reflecting caution amid market uncertainty.
Bullish Bets Persist
Despite the indecisive price action, there’s a palpable sense of optimism among options traders. Deribit, the premier destination for crypto options trading, reportedly saw a growing concentration of open interest in higher-strike call options, a strong indicator of bullish sentiment. “XRP open interest on Deribit is steadily increasing, with the highest concentration of strikes clustered on the upside between $2.60 and $3.0+,” Luuk Strijers, CEO of Deribit, told CoinDesk. At the $4 strike, calls have notional open interest amounting to $5.39 million—suggesting traders are banking on XRP climbing higher. This aligns with recent social data indicating that Dogecoin, XRP ETF hopes are fueling bullish sentiment.
This bullish inclination is not confined to the short term. Strijers noted that open interest is spread across June and September expiries, with monthly notional volumes hovering around $65–$70 million. Notably, over 95% of this trading activity takes place on Deribit.
Ripple’s Broader Strategy
Beyond the charts, XRP’s role as a cross-border payments facilitator underpins this bullish outlook. Ripple has consistently highlighted XRP’s potential to streamline and improve upon traditional SWIFT-based systems, which are rife with inefficiencies. As the B2B cross-border payments market is projected to swell to $50 trillion by 2031—a notable leap from $31.6 trillion in 2024—XRP’s positioning is crucial.
There’s also growing chatter about a potential spot XRP ETF listing in the U.S., which could further bolster its standing. Additionally, XRP traders predict new all-time highs as ETF approval odds rise to 85%, adding another dimension to its utility and appeal.
Looking Ahead
As June unfolds, the crypto community will be watching XRP closely. The recent market indecision raises questions about the sustainability of its current rally. Will the bulls regain control, or will the bears push harder? The answer could hinge on broader market dynamics and Ripple’s ongoing strategic maneuvers.
Yet, the enthusiasm on Deribit suggests that, for now at least, many are not ready to bet against XRP. As always in the world of cryptocurrency, the next few weeks promise to keep traders and analysts alike guessing—and that’s what makes this market so intriguingly unpredictable.
Source
This article is based on: XRP’s Indecisive May vs. Bullish Bets – A Divergence Worth Watching
Further Reading
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Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
