Key Highlights
- XRP’s estimated leverage ratio on Binance has climbed to about 0.1899, its highest level since early 2026, according to CryptoQuant.
- XRP recovered strongly from a drop near $1.03, bouncing back more than 25% and moving back above $1.20.
- Technical breakouts show renewed bullish momentum, but rising leverage also increases the risk of sharp liquidations.
XRP traders on Binance have increased their use of leverage to the highest level seen since early 2026, as the token trades around $1.20 and market activity picks up in the derivatives space.
According to a CryptoQuant report by contributor ArabxChain, Binance’s Estimated Leverage Ratio has increased to about 0.1899. This is a clear jump compared to earlier months, when leverage mostly stayed between 0.15 and 0.18. The increase means that more traders are using borrowed funds to boost their XRP positions during the recent recovery phase in the market.
XRP sees price drop
The rise in leverage did not happen in isolation. It came while XRP was recovering from a sharp drop earlier in the month.
At the time of writing, XRP is trading around $1.21, down 5.93% within the last 24 hours from an intraday high of above $1.27. Trading volume has also decreased by 8.79% to $2.38 billion in volume.
However, at one point, XRP fell close to $1.03 after heavy selling pressure. That was one of its weakest levels in months. But after that drop, the price started climbing again and has now recovered by more than 25%. It moved back into the $1.20 range, showing that buyers had returned after the dip.
Over the past week, XRP recorded gains of around 8%, marking two straight weeks of recovery.
“Leverage reaching its highest level since the beginning of 2026 could indicate growing trader confidence in the continuation of the short-term upward trend,” ArabxChain wrote.
This means traders are feeling more confident and are willing to take bigger risks by borrowing funds to increase their trades. Most of this activity is happening in futures markets, not spot markets, which shows that short-term trading is driving much of the action.
Bullish breakout pushed price toward $1.30
XRP’s price action is showing some strong bullish patterns. The token recently broke out of a symmetrical triangle pattern after trading sideways for about a week. This pattern, once broken, often leads to major moves after a period of price being steady.
After the breakout, XRP pushed up toward a short-term target of around $1.30. This matches the current price area where XRP is trying to build strength.
Crypto analyst Ali Martinez also observed the breakout from a symmetrical triangle, noting a near-term price target of $1.30. At the time of his update, XRP was trading around $1.1784, before moving higher toward $1.24.
The price structure shows steady recovery after the earlier decline, with momentum building in short bursts rather than a smooth trend.
Market dominance breakout and final outlook
In another development, XRP’s market dominance also moved above a long-term descending wedge that had been forming since mid-2025. The breakout pushed dominance to around 3.41% after months of lower highs and weaker structure.
Market commentator CryptoInsightUK highlighted this wedge formation earlier in May, which has now seen a breakout attempt followed by a retest phase.
The recent move also follows XRP’s rebound from a sharp early-month decline, where the asset briefly dropped close to the $1 level. That low marked one of its weakest points in months before a strong recovery took place. Since then, XRP has continued to trade above its recent lows, although it remains lower on a year-to-date basis.
Overall, XRP is seeing more trading energy again. Prices are rising from recent lows, traders are using more leverage, and charts are showing early signs of recovery. But at the same time, higher leverage also means the market can move fast in both directions, making it more sensitive to sudden changes.
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