XRP Bets Surge as Bullish Momentum Builds Above Bitcoin

XRP is gaining strong bullish traction this week, with notable spikes in options trading activity and a technical breakout positioning Ripple’s token for potential further upside against Bitcoin. The increased demand around $3 call options and a breakout from a long-term wedge pattern suggest that market sentiment is shifting decisively in favor of XRP bulls.

Over the past 24 hours, XRP has climbed more than 3.5%, a movement that’s strongly reflected in the Deribit options market. Data from Amberdata reveals a growing investor appetite for bullish bets—specifically, July 25 call options at $3.00 and $4.00 as well as a September 28 expiry call at $2.80 have been the most traded positions since July 1. These figures indicate optimism that XRP could rally significantly within the next several weeks.

By definition, a call option grants the right to purchase an asset at a predetermined strike price by a certain date, serving as a strategic tool for investors expecting upward price movements. The popularity of $3 strike calls implies widespread belief that XRP will exceed this price level before July 25. Notably, each Deribit options contract corresponds to a single XRP unit, underscoring the precision of these speculative positions.

The volume surge in the $3 call options is primarily driven by outright purchases from investors, with market makers taking the opposite side of those trades. Within 24 hours, over 2 million contracts tied to this strike price exchanged hands, signaling a strong conviction in XRP’s rise. Conversely, positions around the $2.80 call strike have seen more selling activity, suggesting traders are less bullish—or hedging—at that level.

Open interest in these higher strike calls has grown substantially in the last week, further reflecting market confidence. This upswing mirrors increasing speculations that a spot XRP exchange-traded fund (ETF) may soon gain approval in the U.S. According to Bloomberg analysts Eric Balchunas and James Seyffart, there is now a 95% probability that the Securities and Exchange Commission (SEC) will green-light such a fund—an event that could dramatically elevate investor access and enthusiasm for XRP.

Adding fuel to this bullish fire, Ripple—the fintech firm behind XRP—announced it has applied for a national banking charter through the Office of the Comptroller of the Currency (OCC). CEO Brad Garlinghouse emphasized on X (formerly Twitter) that if approved, this license would position Ripple as a uniquely regulated entity under both state and federal oversight. He signaled this development as a milestone achievement and a new benchmark for trust, especially in the realm of stablecoins and financial infrastructure.

XRP Outpaces Bitcoin After Pattern Breakout

From a technical perspective, XRP has recently broken out of a falling wedge pattern in its BTC pair, a chart formation known to precede bullish reversals. The XRP/BTC pair, listed on Binance, pushed beyond its upper trendline, a move that analysts interpret as a sign of bullish dominance returning to the market.

The falling wedge pattern consists of downward-sloping trendlines that gradually contract, suggesting seller momentum is tapering off. A move above the upper resistance signals that buyers have regained strength—exactly what occurred in this case, signaling a potential end to the correction that began in April.

Despite this breakout, XRP’s daily chart shows some mixed signals from popular indicators. Both the 50-day and 100-day simple moving averages (SMAs) are trending lower and recently formed bearish crossovers below the long-term 200-day SMA. However, moving averages tend to lag behind actual price movements, and many traders prioritize the real-time implications of breakout patterns over these historical indicators.

Altogether, the momentum behind XRP is unmistakably gaining. Investors betting on higher option strikes reflect strong sentiment for continued growth, similar to the early stages of major bull cycles in the crypto space. As traders position themselves ahead of possible institutional catalysts—such as an ETF approval or Ripple’s entrance into national banking—XRP’s bullish narrative continues to evolve with promising momentum.

Related: Expert Advice: Sell XRP If You’re Confused

Read more: Ripple Applies for Federal Bank Trust Charter, XRP Jumps 3%