XRP Could Be The Altcoin To Recover Quickly, CryptoQuant Analyst Explains Why
XRP collapsed along with the rest of the cryptocurrency market, but this analyst believes the asset could recover quickly.
XRP has become the most traded altcoin on Binance this month
In the new CryptoQuant Quicktake postalcommunity analyst Maartunn discusses how altcoins currently compare on a monthly basis Binance Futures trading volume.
this”trading volume” What this refers to is a metric that tracks the total volume of a given asset participating in trading on a centralized exchange. In the context of the current topic, that platform is Binance.
Below is a chart shared by analysts showing the monthly value trends of this metric for various top altcoins in the industry.
It’s clear from the chart that Solana (SOL) dominated the exchange’s trading volume for much of the year. However, the market has changed over the past few months and SOL has lost its number one position.
Last month, Dogecoin (DOGE) managed to surpass the asset to become the number one altcoin in this metric, and this month, XRP has surpassed both.
To date, XRP’s trading volume on exchanges has reached $116.6 billion. This value will definitely be higher, because there is still a third of December left.
While Binance doesn’t make up the entire industry, the exchange is still the largest in terms of trading volume, so the exchange’s trends are representative of the broader market. “It’s important to track the most traded coins on Binance as they should be your main focus when trading altcoins,” Maartunn noted.
Over the past few days, the entire cryptocurrency industry has experienced a meltdown. However, based on Binance’s monthly trading volumes, analysts said, “XRP appears to be in a position to recover quickly.”
In some other news, the market rout over the past 24 hours means a huge amount of money has been booked on the derivatives side of the cryptocurrency space liquidationaccording to data coin glass.
Of the $1.4 billion in liquidations that occurred during that window, XRP-related contracts appear to have contributed approximately $42 million, as shown in the heat map below.
Interestingly, Dogecoin and Solana appear to be experiencing larger flushes than XRP. This may be because both assets have also seen deeper declines in price.
Ripple price
During the recent crash, XRP briefly fell below the $2.0 level, but as its price trades around $2.1, the coin appears to have managed to recover above that level for now.
Featured images from Dall-E, CoinGlass.com, CryptoQuant.com, charts from TradingView.com
