XRP traders are hedging their bets, wagering that the conflict in the Middle East will push prices down further.
Over the past 24 hours, investors on derivatives exchange Deribit have piled into bets that the Ripple-linked cryptocurrency will fall about 5% as tension between Iran and Israel is rattling markets.
While oil prices have skyrocketed, shipping insurers have raised prices, and the S&P 500 has fallen. Crypto wasn’t spared. Share prices for Coinbase, Strategy, and Circle all lost value.
XRP is down 1.1% in the past 24 hours, and trades at $2.15. The token has shed about 7% in the past week.
Bitcoin, Ethereum, and the broader crypto market have been bleeding over the past days as US President Donald Trump hinted at a potential US involvement in the conflict between Israel and Iran.
“The current dip in altcoin prices reflects a mix of macroeconomic uncertainty and market dynamics,” Vincent Liu, chief investment officer of crypto investment firm Kronos Research, told Bloomberg.