---
title: "Ripple Investors Beware: Key Warning as XRP Rebounds From 8% Drop"
url: https://diffcoin.com/ripple-investors-beware-key-warning-as-xrp-rebounds-from-8-drop/
description: "Is XRP facing another big move?"
published: 2025-03-07
updated: 2025-03-07
author: "Mila"
site: "Diffcoin"
---

# Ripple Investors Beware: Key Warning as XRP Rebounds From 8% Drop

**TL;DR**

- CryptoQuant warned that leverage positions are a big driver behind XRP’s price movements, which has increased the asset’s open interest.
- This comes amid significant volatility that hit Ripple earlier today after President Trump signed an executive order focusing only on Bitcoin.

![XRPUSD. Source: TradingView](https://cryptopotato.com/wp-content/uploads/2025/03/XRPUSD-1.png)

XRPUSD. Source: TradingView

Recall the massive wave to the upside that XRP experienced on Sunday when US President Donald Trump namedropped the asset, alongside a few others, to be potentially included in the country’s strategic crypto reserve. Ripple’s cross-border token exploded by double-digits and tapped $3 for the first time in a few weeks.

However, the momentum was short-lived, and XRP quickly dropped to $2.2. Nevertheless, it had recovered some ground and stood at $2.65 late last night ahead of Trump’s executive order that says the country will focus solely on Bitcoin, but it failed to mention any other cryptocurrency.

XRP’s price tumbled by 9% immediately, going down to $2.37 before it bounced off to its current level of $2.5.

At the same time, CryptoQuant warned that the open interest for the third-largest digital asset has increased by over 5.5% within a short timeframe, which suggests a price move ‘fueled by leverage.’ The analytics firm added that XRP’s upcoming price movements could be ‘wild’ and advised traders to manage their risk.

> Open interest for XRP is up 5.63%, signaling a price move fueled by leverage. Elevated risk in the market.
> 
> Leverage cuts both ways—stay sharp. [pic.twitter.com/OQ53hl7W5k](https://t.co/OQ53hl7W5k)
> 
> — CryptoQuant.com (@cryptoquant_com) [March 6, 2025](https://twitter.com/cryptoquant_com/status/1897718190651646255?ref_src=twsrc%5Etfw)

The controversy around the US crypto reserve continues but many analysts believe that XRP’s price could be poised for a massive rally and it’s only a matter of time before it breaks its 2018 all-time high of $3.4 (according to CoinGecko). Some went even further, predicting outrageous price surges that could drive XRP’s price to double- and even triple-digit territory.

The post Ripple Investors Beware: Key Warning as XRP Rebounds From 8% Drop appeared first on CryptoPotato.

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