The ripple price is still range-bound, but trading volume has surged over the past day.
XRP trading volume has grown significantly despite the overall massive sell-off in the market. According to data from CoinMarketCap, the XRP trading volume increased by 170% to $1.035 billion in the past day.
This spike comes during a period of severe correction in the cryptocurrency market, which includes major players, such as Bitcoin.
Cryptocurrency prices fell sharply on Monday, with Bitcoin (BTC) dropping to around $58,875. Altcoins also saw significant declines during the same period.
According to CoinGlass, the unexpected market collapse resulted in the liquidation of leveraged derivatives trading positions across all digital assets worth more than $281 million. Of this total, important coins lost up to 10%, and over $259 million in crypto longs were sold in the last 24 hours.
XRP Strengthens in the Face of Pessimism
Despite the overall negative outlook on the market, traders are being attracted to XRP, leading to a significant increase in its trading volume.
This large surge in activity suggests that investors are taking advantage of the current volatility or preparing themselves for potential future price fluctuations in XRP. Statistics from CoinMarketCap show that trading volume for XRP increased by 170% to $1.035 billion over the past day.
XRP is now trading at around $0.4774, down 1.52% from the previous day, as it is at the time of writing. This price drop, which is 4.79%, also shows a bearish pattern over the past seven days. The large trading volume amid the price decrease reflects complex investor sentiment about XRP.
Aside from the increased trading volume, the AMM pool of the XRP Ledger has witnessed a lot of activity. CNF recently highlighted the significant growth of this pool, which has locked in around 10 million XRP.
The price of XRP depends on other elements
The current legal battle between Ripple and the US Securities and Exchange Commission is another important factor that could limit XRP’s price and overall volatility.
The outcome will determine whether regulators will classify as a security XRP which will certainly be a key issue for both new and existing investors.
The litigation is currently in the trial phase and doesn’t appear to be concluding soon, so volatility in the XRP market is unlikely until that happens.
