The XRP open interest (OI) has now collapsed to a 14-month low, hitting levels XRP last witnessed when it traded below $1.

This comes as the XRP price continues to slide to new lows, having recently collapsed to a new yearly floor of $1.8 amid a broader market collapse that has seen Bitcoin (BTC) drop to $86,000. XRP’s current price of around $1.8 represents a 25% decline from the yearly peak of $2.41 and coincides with a drastic crash in open interest.

Specifically, futures market data indicates that the XRP open interest recently dropped to $965 million, the lowest figure recorded since November 2024, when prices still traded below the $1 mark. Further data shows that sharp declines in XRP open interest have often accompanied price drops.

Key Points

• The XRP open interest has dropped significantly, reaching a new yearly low of $965.5 million.
• Market data confirms that the last time XRP saw such a low open interest was in November 2024, when it still traded below $1.
• This recent drop in XRP open interest comes as XRP’s price crashes to new yearly lows around $1.8.
• Further futures market data indicates that gradual declines in XRP open interest have often accompanied drops in prices.
• This shows fading confidence and lower activity, which can weaken short-term momentum but reduce selling pressure.

XRP Open Interest Drops to 14-Month Low

Market analytical resource CryptoQuant confirmed this gradual decline in XRP open interest over the past 21 days. Notably, open interest had risen to $1.382 billion on Jan. 5, coinciding with XRP’s price recovery from a low of $1.84 at the end of 2025 to above $2.3 in early January. 

However, as the price faced resistance at its new yearly high, the pullback also translated to a drop in open interest, a trend that has always played out in the market. XRP’s OI dropped from the $1.382 billion peak to $1.088 billion by Jan. 12, as prices collapsed to $2.053. 

When XRP staged a rebound attempt from here, open interest also recovered, reaching $1.172 billion by Jan. 13. Interestingly, as prices began sliding again, the XRP open interest saw another drop to the current low of $965 million. For context, the last time XRP saw this figure was in November 2024, when it changed hands at around $0.77.

What Could This Mean for Price Action?

When price drops at the same time open interest falls to new lows, it shows that most traders are closing their positions and pulling money out of the market instead of opening new trades. This happens when uncertainty grows or when people expect further downside, leading to lower trading activity and weaker short-term momentum. 

Going forward, this can have two effects. In the near term, it may keep XRP under pressure because there is less demand pushing prices up. However, since many leveraged positions have already closed, it can also reduce sharp sell-offs and create a more stable base. If fresh buyers step in, this quieter period can sometimes lead to a gradual recovery.

Historical Data Around XRP Open Interest and Price

Notably, historical data also confirms the close-knit relationship between the XRP open interest and price action. When XRP’s price rose from $0.5 on Nov. 5, 2024, to the peak of $3.4 by January 2025, open interest also increased from $570 million to $3.67 billion within the same period.

As the XRP price corrected from the $3.4 high, OI also saw gradual declines, hitting a low of $1.158 billion in mid-April 2025. However, with prices recovering to $3.6 by July 2025, the XRP open interest rebounded to a new multi-year high of $3.87 billion.

The XRP Ledger now hosts over $150 million worth of tokenized U.S. Treasury Debt amid a rapid increase in RWA value over the past year.

Real-world asset (RWA) tokenization, a growing narrative that has captured the attention of industry leaders such as BlackRock’s Larry Fink and SEC Chair Paul Atkins, has continued to see rapid expansion, and the XRP Ledger (XRPL) is already capturing a good portion of this expansion.

Data confirms that tokenized U.S. Treasury Debt on the XRPL has grown in value to $150 million at press time, with leading tokenization platforms like Ondo, Zeconomy, and OpenEden contributing to this figure. While $150 million appears modest, it represents a 2,900% increase from the figures reported exactly a year ago.

Key Points

• The XRP Ledger is now home to $150 million worth of tokenized U.S. Treasury Debt as RWA value sees a rapid spike over the past year.
• Popular tokenization platforms OpenEden Digital, Zeconomy, and Ondo contribute the most to the current figure.
• The total value of tokenized U.S. Treasury currently sits at $10 billion across all blockchain networks.
• While the $150 million share from the XRPL appears modest compared to other platforms, it represents a 2,900% rise over the last year.

XRP Ledger Now Hosts $150M in Tokenized U.S. Treasury Debt

This is according to on-chain data provided by RWA.xyz, the lead platform on tokenized RWA market data. Specifically, the XRPL boasts over $1 billion worth of total tokenized RWA, including distributed and represented assets. The Crypto Basic confirmed this milestone in a recent report.

Of the $1 billion figure, distributed RWA makes up $598 million. Meanwhile, according to the classification from RWA.xyz, distributed assets include U.S. Treasury Debt, Private Equity, and Stablecoins. Notably, U.S. Treasury Debt accounts for $150.2 million, much higher than Private Equity ($55.2 million) but less than half of Stablecoins ($392.9 million).

However, the XRPL is dwarfed by other networks in terms of tokenized U.S. Treasury value. Notably, the total worth of on-chain U.S. Treasuries sits at $10.13 billion, indicating that the XRPL only hosts 1.4% of all tokenized U.S. Treasuries. Despite this, the current $150 million figure represents a 2,900% increase from the $5 million worth of U.S. Treasuries on the XRPL exactly a year ago.

Platforms Tokenizing U.S. Treasuries on the XRPL

Meanwhile, most of the U.S. Treasury Debt value on the XRP Ledger is accounted for by just three platforms. Notably, OpenEden Digital, a subsidiary of the OpenEden Group, hosts $61.6 million worth of U.S. Treasuries on the XRPL with its OpenEden TBILL Vault product. This represents 41% of the total value of XRPL-based U.S. Treasuries.

Ondo accounts for $40.8 million worth of U.S. Treasuries on the XRPL with its Ondo Short-Term U.S. Government Bond Fund (OUSG). Zeconomy comes third with $40.039 million in U.S. Treasuries with the Guggenheim Treasury Services DCP product. Meanwhile, Archax boasts $7.712 million worth of U.S. Treasuries on the ledger through its abrdn Liquidity Fund (Lux) – US Dollar Fund.

For years, XRP price performance has been a source of frustration for many investors. 

While the broader crypto market has cycled through hype-driven rallies, XRP has often moved more slowly, leading to repeated claims that it is underperforming or broken. According to Black Swan Capitalist founder Versan Aljarrah, that conclusion misses the point entirely.

Key Points

“XRP Wasn’t Built for Hype Cycles”

Aljarrah argues that XRP is often judged using the same framework applied to speculative assets, where price momentum and sentiment dominate the narrative.

In reality, XRP was designed with a very different purpose, Aljarrah said. Rather than thriving on market excitement, it was built to function as a settlement asset when traditional systems struggle to move value efficiently.

From this perspective, price action alone is an incomplete measure of progress. XRP’s role is tied to utility, not short-term speculation, and that distinction explains why it doesn’t always mirror the explosive moves seen elsewhere in the market.

Why XRP Still Moves With the Broader Market

At present, XRP continues to trade within the same liquidity-driven structure as the rest of crypto. Bitcoin remains closely linked to debt markets, debt markets respond to global liquidity, and liquidity is still largely controlled through the U.S. dollar system. As long as XRP operates inside this framework, its price will reflect those conditions, Aljarrah noted.

Even the growth of stablecoins hasn’t fundamentally changed this dynamic. Stablecoins, while digital, are still representations of fiat currency and rely on an underlying settlement layer to function at scale.

Settlement Demand Is the Real Catalyst

According to Aljarrah’s view, true decoupling doesn’t occur because market sentiment improves or narratives shift. It happens when settlement becomes necessary, typically during periods of systemic stress. Only when existing financial rails are under pressure does demand for alternative settlement mechanisms emerge.

This is where XRP’s design becomes relevant. Its value proposition is not rooted in belief or speculation, but in demand driven by real-world settlement needs.

The takeaway is that XRP doesn’t need to win the popularity contest. It doesn’t need constant hype or bullish sentiment to fulfill its role. Its moment comes when the system requires what it was built to provide: efficient, neutral settlement at scale.

For investors focusing solely on charts, that can be easy to miss. But for those looking at structure rather than sentiment, XRP may be playing a much longer game.

“XRP Could Break Away from Bitcoin This Year”

Canary Capital CEO Steven McClurg believes XRP may be one of the few major cryptocurrencies that will not closely follow Bitcoin’s price movements this year.

Speaking on a podcast, McClurg said he is bearish on Bitcoin, arguing it already peaked in October 2025 at $126,200. Since then, Bitcoin has fallen about 36%, and he expects another 20%–30% drop over the next six to nine months.

While most cryptocurrencies usually move in line with Bitcoin, McClurg thinks this cycle will be different for projects with real-world use cases. He believes 2026 will focus more on real-world asset tokenization and stablecoins rather than speculation.

He highlighted the XRP Ledger as well positioned for this shift, saying platforms tied to real-world applications could decouple from Bitcoin’s broader decline.

However, McClurg does not expect big rallies. He forecasts only modest, low double-digit gains for a small group of assets like XRP, while Bitcoin could continue to fall. Meanwhile, critics call this outlook unrealistic.

After six months of witnessing lower highs and lower lows amid a market downtrend, XRP has finally broken the bearish structure with a new higher high.

XRP is gradually pushing toward new territories after months of a sustained downtrend. Specifically, following the July 2025 peak of $3.6, XRP slipped into a downward spiral alongside the rest of the crypto market. Notably, XRP recorded four monthly losses out of five, losing 39% of its value during this period.

A recovery attempt that emerged earlier this month faced resistance at $2.41 on Jan. 6, leading to another round of losses. However, market data indicates that this recovery push helped XRP break what appears to have been a series of lower highs and lower lows that played out consistently after the July 2025 peak.

Key Points

• XRP’s price action has remained under pressure following the drop from the $3.6 peak in July 2025.
• Since then, XRP has recorded multiple monthly losses, losing 39% of its value as it records lower highs and lower lows.
• The recovery attempt from earlier this year, which met resistance at $2.41, helped XRP break this structure of lower highs and lower lows.
• Specifically, XRP’s rise to $2.41 on Jan. 6 marked a higher high, indicating that the bearish momentum may be weakening.

XRP Records Series of Lower Highs and Lower Lows

This pattern was identified by Sjuul Follings, founder and CEO of crypto resource AltCryptoGems. Follings suggested that XRP was starting to look better after breaking the bearish structure that followed the pullback from $3.6 in July 2025.

For context, after this pullback, XRP first dropped to a low of $2.96 by Aug. 3 before recovering to $3.2 six days later. However, this $3.2 peak marked a lower high despite representing stern resistance. From here, XRP dropped further to $2.69 on Sept. 1, marking a lower low. The recovery that followed led to $3.07, another lower high.

This pattern of lower highs and lower lows persisted until Q4 2025, when XRP witnessed another lower high of $2.28 in late November and from here collapsed to a lower low of $1.77 by Dec. 19, 2025. Essentially, the bearish structure lasted till the end of the year.

XRP Breaks Bearish Structure

However, the rebound that ensued at the start of 2026 pushed XRP to $2.41, a higher high when compared to the $2.28 high in late November 2025. This marked the first time XRP recorded a higher high on the daily chart in six months, leading to a break of the bearish structure.

While the pullback that emerged following the $2.41 peak has dampened investor sentiment this year, analysts like Follings believe XRP now sits in a better position. In his latest analysis, Follings confirmed this and noted that XRP must now maintain this new trend of higher values to keep the bullish positioning. 

This would mean forming a low higher than the December 2025 floor of $1.77 before rebounding to prices higher than the $2.41 peak of Jan. 6. If this materializes, XRP will have begun forming a series of higher highs and higher lows, a pattern that could set the stage for a sustained recovery.

To maintain the bullish structure, XRP must hold above the $1.8 support identified by Follings in his chart. Meanwhile, the recovery could gain momentum once XRP’s price recovers above the $2.7 pivot, with a full bullish trend emerging above the $3.4 resistance.

A prominent wealth expert argues that XRP’s value goes far beyond price speculation, warning that those betting against the asset are likely to regret it. 

Although XRP plays a clear role in cross-border settlements, critics have often downplayed this utility and dismissed the token as just another speculative play. In response, XRP proponents continue to push back, stressing that its distinct design and real-world use case set it apart.

Key Points 

• Prominent wealth expert Jake Claver argues that XRP’s value extends far beyond price speculation. 
• Critics have frequently downplayed XRP’s role in cross-border settlements, labeling it as speculative. 
• Claver warns that investors betting against XRP may ultimately regret it. 
• Historical trends show that utility consistently outperforms hype.

XRP’s Purpose Extends Beyond Speculation 

Jake Claver, CEO of Digital Ascension Group (DAG), recently reinforced this view in a post on X. In his commentary, Claver emphasized that XRP was deliberately engineered with a specific purpose beyond price speculation. 

He noted that while much of the crypto market has chased scarcity narratives in hopes of becoming digital gold alongside Bitcoin, XRP has taken a different path, focusing instead on solving tangible real-world problems. 

Moreover, Claver pointed to historical market trends, arguing that utility ultimately outperforms hype over the long term. From this perspective, dismissing XRP as just another token overlooks the intentional choices that underpin its architecture. 

Consequently, he cautioned that those who underestimate XRP’s uniqueness may regret it, particularly if they miss the point where function and purpose begin to outweigh speculation. 

“Utility Wins All the Time”

Notably, several members of the XRP community rallied behind Jake Claver’s commentary. One user argued that utility ultimately prevails in the market, stressing that assets with real-world applications tend to outperform speculation-driven tokens over the long term. 

Similarly, another commenter maintained that utility has always been the defining factor in crypto. Despite acknowledging that mass adoption has yet to materialize fully, they emphasized that progress continues steadily. 

Utility has always been the difference. Still a way to go but we are getting closer every day.

— Mr Market (@dogreadsnews) January 11, 2026

XRP Targets Real-World Payment Inefficiencies

Meanwhile, XRP has positioned itself as a digital asset with clear real-world utility. Developers designed the token to reduce inefficiencies in traditional payment systems by enabling fast, low-cost, and scalable value transfers, especially for cross-border transactions. 

As a result, its architecture prioritizes rapid settlement, liquidity efficiency, and interoperability with existing financial infrastructure. In addition, Ripple has driven XRP’s adoption for cross-border payments. Several financial institutions, including SBI Group and Tranglo, already use the token for settlements. 

From Claver’s perspective, this problem-solving capability signals that broader adoption is only a matter of time and could support long-term price appreciation. 

However, skeptics remain unconvinced. Some argue that Ripple, not XRP holders, benefits most from the ecosystem and claim the company could eventually replace XRP with its stablecoin, RLUSD. 

Meanwhile, Ripple executives have repeatedly rejected this view. In fact, CEO Brad Garlinghouse has reaffirmed that XRP remains central to Ripple’s long-term strategy, directly countering speculation that the asset could be sidelined.