According to CoinGlass data, XRP's open interest (OI) has increased to $4.87 billion in the last 24 hours. Open interest refers to the total number of outstanding futures or options contracts on the market and can provide insight into the sentiment of market participants toward the cryptocurrency.

This comes as the XRP price continues to consolidate, with traders positioning themselves for potential price movements. XRP has been locked in a tight range of $2.65 and $2.26 since early May. Attempts to break out of the range met resistance twice at $2.65.

At press time, XRP was testing the lower end of this range, down 1.58% in the last 24 hours to $2.27, as the crypto market saw slight selling pressure in the early Wednesday session ahead of the release of the Fed minutes, with $203 million liquidated.

Currently, eyes are on XRP to see if it will sustain above its daily moving averages of 50 and 200 at $2.23 and $2.26, respectively. 

On the upside, a break above $2.65 might be necessary for XRP to ignite fresh bullish momentum, which might target $3 and ultimately $3.40. On the other hand, support is envisaged at $2 in the event of a further drop.

XRP spot ETF moves closer to reality

The U.S. Securities and Exchange Commission (SEC) has formally launched an examination of the WisdomTree XRP Trust, a proposed spot exchange-traded fund (ETF) that would give investors exposure to XRP.

Filed by Cboe BZX exchange, it would be the first formal SEC review of a U.S.-based spot XRP ETF. If approved, it would be the first XRP ETF in the United States, a milestone that might pave the way for similar products across other crypto assets.

On Polymarket, the betting odds for the XRP ETF to be approved by Dec. 31 are at 84%. Meanwhile, according to Ripple Chief Legal Officer Stuart Alderoty, Ripple has submitted an additional letter to the SEC’s Crypto Task Force, addressing a key question from Commissioner Hester Peirce’s "New Paradigm" speech: When does a digital asset separate from an investment contract?