According to CoinGlass statistics, the amount of derivatives on the well-known cryptocurrency, XRP, increased by more than 130% today. According to reports, trading activity in the seventh-largest cryptocurrency’s largely perpetual futures surged to $1.19 billion, more than double the amount moved the previous day.
CoinMarketCap reports that the cryptocurrency’s spot market volume surged at the same time, hitting $1.3 billion, up 108.04% from Sunday. Let’s examine the volume to market capitalisation ratio to see whether this is a significant rise in trading activity.
With a market capitalisation of around $30.94 billion and a combined volume of $2.5 billion on the futures and spot markets, the ratio is 8%, which is a high but not particularly noteworthy level of trading activity.
The spike in trading activity coincides with a dip in the larger cryptocurrency market and a critical test for XRP’s price.
XRP: Price outlook
The 200-day MA, which is now at $0.54, is a crucial support level that the price of XRP has achieved in the past hour. From an hour to a day, the cryptocurrency has been able to hit the band on all significant time periods.
This is significant since the price has been able to stay above it, indicating that buyers are there and has the ability and desire to purchase XRP.
However, since the price of XRP was rejected on the daily time frame around $0.56, where the 50-day MA is now extended, the bears also shown their hands.
Right now, both bulls and bears are refusing to let XRP fall outside of its extremely narrow range of $0.54 to $0.56.
