XRP Maintains $1.39 Level Despite Liquidation of Speculative Volume... Leverage Ratio Hits Historic Lows

XRP's price is showing a solid trend, maintaining the $1.39 level despite large-scale liquidation of speculative leverage. As of May 4, 2026, XRP's market value reaches approximately $85.7 billion, with daily trading volume recording around $1.75 billion.

CryptoQuant analyst PelinayPA noted in a report on May 3, 2026, that prices did not fall alongside traders' significant reduction in speculative exposure. This is interpreted as an indicator suggesting that the market's downward rigidity has strengthened.

The estimated leverage ratio for XRP on major exchanges, including Binance, fell to approximately 0.152, the lowest level since late 2024. This 'flush out' of leverage means that overheated speculative sentiment in the market has been removed and price formation based on actual demand is taking place.

Compared to the large-scale liquidation event between February 4 and 5, 2026, when XRP gave up the $2.00 level and plummeted to $1.21, the current price defense is quite encouraging. While that crash turned the $1.50 level into a strong resistance line, the recent stability is seen as a process of building a foundation to break through that range again.

The XRP Ledger (XRPL) has recently emerged as a key hub for Real World Asset (RWA) tokenization, increasing the network's intrinsic value. Currently, XRPL holds approximately $3.6 billion in real-world assets (excluding stablecoins), of which 71% ($2.6 billion) consists of assets representing energy commodities, demonstrating that the blockchain is functioning as a record-keeping infrastructure beyond a simple means of transaction.

With XRP's leverage ratio hovering at historic lows while the price maintains its support level, the setup has the potential to trigger a powerful short squeeze and drive prices up sharply when leverage flows back in the future.

Looking at Open Interest data by exchange, the scale of speculative volume exit becomes clearer. Open interest decreased by approximately 721.49 million XRP on Binance, and by 132.1 million XRP and 10 million XRP on Bybit and Bitfinex respectively, indicating a market-wide deleveraging.

The Gap Between Institutional Adoption and Public Trust

Despite internal market adjustments, interest from institutional investors remains high. CME XRP futures, launched in May 2025, reached $1 billion in open interest faster than any previous cryptocurrency futures contract, proving institutions' strong desire for exposure. This is expected to be a key driver of market liquidity in conjunction with the upcoming launch of XRP ETFs.

• Figure, led by Mike Cagney, has built a credit market using blockchain that excludes intermediaries, achieving monthly transaction volumes of $1 billion.
• According to a Politico poll released on May 3, 2026, the majority of Americans still express deep distrust of cryptocurrency and AI technology, which could act as a variable in the election cycle.
• Ripple CEO Brad Garlinghouse recently praised the resilience of the XRP ecosystem and reaffirmed his commitment to accelerating institutional adoption alongside regulatory victories.

From a technical perspective, XRP is currently confirming strong buying support in the range between $1.33 and $1.37. On the other hand, selling resistance still exists between $1.39 and $1.45, and additional volume inflow or positive regulatory news is essential to break through this range.

Key indicators for investors to watch in the future are the final conclusion of the legal dispute with the SEC and the timing of the re-entry of open interest. As the regulatory environment becomes clearer heading into the second half of 2026, market attention is focused on whether the current price level, with speculative bubbles removed, can serve as a new starting point for a long-term bull rally.