A large XRP trader has secured a $224,500 premium by selling options on Deribit, wagering that the cryptocurrency will remain near the $1.40 mark through June 26. The transaction occurred on May 21 as a privately negotiated block order, involving the sale of 1.5 million call and put contracts at identical strike prices. This short strangle strategy effectively provides insurance against significant price swings in either direction. The upfront premium represents the maximum profit, which the trader retains entirely if XRP stays close to $1.40 by expiration.
Historical trading patterns suggest this bet aligns with recent price behavior. Data indicates that XRP has fluctuated between $1.30 and $1.50 for roughly 60% of 2026. Additionally, the May 29 monthly options expiry shows a max pain point at $1.40, reinforcing this level as a key support. Meanwhile, open interest for XRP options has risen above 50 million contracts for the first time in nearly two months, indicating heightened activity ahead of the monthly expiry.
The primary risk to this position stems from the potential passage of the Clarity Act, which could drive XRP sharply past $1.50 if a Senate vote occurs sooner than anticipated. Such a move would render the short call unprofitable. Conversely, a breakdown below the strike price could also lead to losses once the movement exceeds the premium collected. Given the uncertain legislative timeline and broader market pressures, including Bitcoin hovering near $77,000, this trade reflects a conviction that no major catalyst will disrupt XRP’s price stability before late June.