Crypto : Unexpected surge in XRP trading volume, +45 % in 24 hours !
Since Tuesday, XRP has seen an unexpected surge in its trading volume. Within 24 hours, this crypto saw a dramatic increase in both the derivatives and spot markets. Despite recent market turbulence, XRP appears to be benefiting from a significant resurgence of interest.
An unexpected surge in XRP Power
XRP’s trading volume saw a dramatic increase in the past 24 hours, despite the release of one billion tokens by Ripple. Transactions on this crypto’s derivatives exploded by 45 %, reaching a volume of $1.13 billion in the market. This increased activity in the derivatives markets placed XRP in the eighth position in the global crypto derivatives ranking. In the spot market, XRP trading volumes also saw a significant increase of 33.22 %, reaching $1.085 billion in one day.
This surge in XRP power in the derivatives and spot markets is particularly notable given its volume/market cap ratio of 3.85 %. Although this ratio may seem modest compared to other more volatile assets, it nevertheless highlights intense trading activity.
Analysis of the mechanisms behind XRP surge
Behind this sudden increase in XRP’s volume, several key factors can be identified. Indeed, the Bitcoin crossing the $57,000 mark has revived market participants’ confidence, which had been shaken by negative macroeconomic results and the fall of several major technology companies.
Furthermore, the increase in XRP’s trading volume could also be related to technical factors specific to this crypto. With the return of market volatility, derivative traders, in particular, seem to have taken the opportunity to profit from price fluctuations. Perpetual futures on XRP saw their volume increase. This increased activity results from hedging strategies against market fluctuations or speculative positions aiming to capitalize on XRP’s volatility.
The surge in XRP should not be interpreted as a sign of stability. Rather, it reflects underlying volatility and complex trading strategies that could quickly change direction based on upcoming economic and financial developments.
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Diplômé de Sciences Po Toulouse et titulaire d'une certification consultant blockchain délivrée par Alyra, j'ai rejoint l'aventure Cointribune en 2019. Convaincu du potentiel de la blockchain pour transformer de nombreux secteurs de l'économie, j'ai pris l'engagement de sensibiliser et d'informer le grand public sur cet écosystème en constante évolution. Mon objectif est de permettre à chacun de mieux comprendre la blockchain et de saisir les opportunités qu'elle offre. Je m'efforce chaque jour de fournir une analyse objective de l'actualité, de décrypter les tendances du marché, de relayer les dernières innovations technologiques et de mettre en perspective les enjeux économiques et sociétaux de cette révolution en marche.
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.