A striking shift is unfolding in the futures markets. According to new data from CryptoQuant, traders on Binance are unwinding large positions in Bitcoin and Ethereum while quietly piling into XRP, hinting at a possible altcoin rotation amid broader market turbulence.
The last 72 hours have been defined by heavy de-risking across the two biggest cryptocurrencies. Bitcoin’s open interest fell by $59.87 million (-0.56%), following a far sharper $957.43 million (-0.89%) decline the previous day. This two-day drop reflects one of the largest waves of risk reduction since mid-summer, coinciding with renewed selling pressure below the $100,000 level.
Ethereum’s futures market is showing even more dramatic capitulation. Data reveals a $148.69 million (-2.36%) contraction in open interest within 24 hours, on top of an earlier $783.52 million (-11.04%) plunge. The result is a massive de-leveraging event, as traders unwind leveraged positions and retreat from ETH’s volatility following last week’s 12% correction.
Meanwhile, XRP Traders Are Building Positions
In stark contrast, XRP futures are seeing signs of accumulation. Despite a modest $8.69 million (-1.71%) pullback in open interest, this follows a controlled correction from $30.89 million (-5.73%) earlier in the week, and traders appear to be using the dip to reload. CryptoQuant analyst Crazzyblockk describes this as “bullish conviction amid fear,” noting that XRP’s stability relative to BTC and ETH is attracting capital rotation from sidelined traders.
Why It Matters
The divergence underscores a broader theme in current market behavior: capital rotation during uncertainty. As Bitcoin and Ethereum face volatility from macro pressures, including rate-cut ambiguity, ETF outflows, and weakening liquidity, some traders appear to be shifting short-term bets toward altcoins perceived as “under-owned.”
While XRP remains far below its 2021 highs, its recent fundamentals, including Ripple’s aggressive expansion into stablecoins and institutional services, have fueled renewed speculative interest. If this futures accumulation continues, it could mark the early stages of an altcoin resurgence even as broader crypto sentiment remains defensive.