XRP Price Surge Raises Questions About Market Volatility

The cryptocurrency market is witnessing a significant surge in XRP's price, reaching $1.42 after 2.4% growth in just one day. This increase can be attributed to rising open interest in futures, which has reached 1.66 billion tokens. However, this momentum may not necessarily translate into lasting gains, as the market is also witnessing a rise in leverage.

The surge in XRP's price is driven by retail traders who are speculating on the cryptocurrency's potential for growth. However, institutional investors remain absent from the scene, which adds to the structural risk in the market. The gap between these two groups highlights the possibility of sharp corrections if leverage overheats.