XRP Options Open Interest Nears $98 Million as Market Shows Strong Bullish Bias
XRP’s options market is gaining momentum, with open interest on Deribit reaching nearly $98 million—just shy of the all-time peak of $102.3 million recorded earlier this summer. This increase is fueled by heightened implied volatility, making XRP options attractive to investors seeking yield.
Since the June 27 quarterly expiry, open interest has surged 38%, rising from $71 million to its current level. The number of outstanding contracts has also grown by 26%, exceeding 42,000 contracts, each representing 1,000 XRP.
XRP maintains higher implied volatility compared to major cryptocurrencies such as Bitcoin, Ether, and Solana. Lin Chen, head of Asia business development at Deribit, noted that XRP’s impressive 300% annual return over the past year has fueled strong interest in its options market.
Many traders are employing cash-secured put selling strategies, which involve selling put options backed by stablecoins to earn premiums while preparing to buy XRP if prices decline.
Bullish Market Sentiment Reflected in Risk Reversals and Put-Call Ratio
Data from Amberdata shows positive 25-delta risk reversals for XRP, indicating a market preference for call options over puts and signaling bullish sentiment. This trend holds across short-term contracts and those expiring in August and September.
Call option open interest outpaces puts significantly, with more than 30 million call contracts open compared to about 11.9 million puts. This puts the put-call ratio at 0.39, further underscoring the strong bullish bias in XRP’s options market.
