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XRP spikes to $1.60 as leveraged funds cut CME net shorts

CFTC data shows leveraged funds reduced CME XRP futures net short exposure by 46.3 million XRP in a week, while Coinbase-linked futures positioning changed far less.

Reported · Written up by our desk · Market Structure

XRP hit an intraday high of $1.60 on Sept. 22 and posted about $7.4 billion in reported volume, as the move drew attention to futures positioning, with CryptoSlate pointing to a CME-led squeeze narrative.

According to a Sept. 15 CFTC snapshot, leveraged funds cut their net short in CME XRP futures by the equivalent of 46.3 million XRP over the prior week. In CME data, their net short fell to 719 contracts, equal to 35.95 million XRP, from 1,645 contracts net short, or 82.25 million XRP, as both higher long exposure and lower short exposure contributed to the change.

CryptoSlate said the shift appears disconnected across venues and timing, since the positions were observed Sept. 15 and released Sept. 18, before the Sept. 22 price snapshot. Across three separately reported Coinbase Derivatives products, the same trader category reduced its combined net short by only 2.452 million XRP and remained short about 141.6 million XRP, far less than CME.

The report also cited open interest declining by 509 CME contracts, equal to 25.45 million XRP, which can align with traders closing positions even as they add some long exposure. In the CME standard contract representing 50,000 XRP per contract, the net-short reduction was driven largely by short reductions, while Coinbase product changes were smaller and partially offset by a move that left leveraged funds more net short in a perpetual-style contract.

Latest closeXRP $1.568 ▼0.3%

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