In the SEC vs Ripple proceedings, the court denying SEC access to Ripple’s legal memos influenced the price in a bullish way, driving the price to the $0.932 level. The trade volume has dropped by nearly 17% and so far it hasn’t affected the price negatively. Among the other external factors, on-demand liquidity is a key factor influencing the price.
The price has been largely influenced by liquidity in the past 4 weeks based on the above price chart and trends. In the last seven days, there were 7k transactions, in which 3.5 Million XRP was moved on the network, worth a total of $3.4 Million USD.
The social volume has dropped by 13% based on data from Lunarcrush and this is indicative of a rally and a sustainable one, since hitting a top in social volume corresponds with a drop in price. Though the price has dropped, the number of transactions and volume is increasing, thus implying a bullish change.
The volatility is relatively high when compared to other altcoins. Social dominance has dropped, and this implies that XRP is currently undervalued. The price is likely to increase in the following weeks as the altcoin rallies and the market capitalization increases.
The following chart shows the number of new XRP accounts per month. After hitting a peak on May 21, the number has dropped considerably and has dropped to the 2020 level.
It is expected that following the price trend from previous bull runs, XRP price rally is influenced by the altcoin rally and volatility. As altcoin volatility increases, with dropping Bitcoin dominance, XRP price is likely to increase. XRP’s on-demand liquidity has increased based on the statistics and this, alongside the on-chain metrics like HODLer composition and volume of transactions, signals a bullish week for XRP.
The price is likely to rally to the $1.7 level, based on the trend and this will be sustained if there is no significant shift in trader sentiment. The current price level is a low range for XRP and this is a starting point for the rally this week. Before the end of June, the price is expected to recover entirely and market capitalization ought to recover enough to rank in the top 5 again.