Are XRP traders betting on a bigger rally after Futures volume hits $11.37 billion?
Large XRP withdrawals jumped by 4.3x in two days!
Are big days ahead for XRP, one of the market’s biggest cryptocurrencies?
Perhaps, yes. After all, Futures activity is on the rise and larger hands are making some big moves right now.
Hence, the question: Has any of this helped XRP’s price on the charts?
An uptick in trading activity and volumes
For instance, Futures trading volume across Binance, Bybit, OKX, and Bitget climbed to $11.37 billion on 22nd August 22. In fact, such was the scale of the uptick that it hit its highest figures since early February.
This uptick came on the back of a hike in large XRP withdrawals from exchanges. In fact, transfers of more than 1 million XRP climbed from 54 million XRP to 231 million XRP between 19-21 August. This alluded to a 4.3x increase in just 48 hours!
Here, it’s worth pointing out that both surges happened during XRP’s latest rebound on the charts.
Binance led the Futures activity with $5.63 billion in volume, followed by Bybit, OKX, and Bitget with figures of $2.35 billion, $2.04 billion, and $1.35 billion, respectively.
The timing here is especially interesting. Large holders moved huge amounts of XRP off exchanges just before Futures trading volumes hit a six-month high. Hence, it is worth contemplating if some investors are readying themselves for a rally or simply taking advantage of the altcoin’s recovery.
Is their evidence of strong trader positioning?
As far as Spot XRP ETFs are concerned, they have seen a lot of green lately with total net assets touching $1.44 billion. Daily inflows hit $13.82 million too.
On the other hand, Binance’s estimated XRP leverage ratio hiked to its highest level in more than seven months.
This implied that traders might be increasing their exposure while the token recovers. Higher leverage ordinarily means more belief, while also hinting at potential wild swings.
A look at XRP’s next key test
XRP’s latest rally helped the token hit the $1.50-level within weeks of breaching $1 earlier in the month. On the daily charts, the RSI supported the market’s strong pace. However, it also indicated that the asset may be overbought.
The MACD line had a reading 0.1039, above the Signal line at 0.0507. This was another sign of market bullishness.
XRP’s price has been consolidating near its highs though. Hence, traders should watch out for a sustained break of the $1.50 resistance zone or a pullback on the charts.
Final Summary
- XRP Futures volume hit a six-month high as large exchange withdrawals surged 4.3x in 48 hours.
- XRP’s $1.50 level is now in focus.
