The cryptocurrency market is experiencing a significant surge, indicating a potential bull market. Bitcoin (BTC) rose over 7% in a single day, reaching the threshold of $71,000, while Ethereum (ETH) saw an impressive 18.46% increase, rising to $3,665. XRP also contributed to the overall market excitement with a 6.23% rise, reaching $0.5387.
3.08 Billion XRP Traded
One of the most notable features of this market rally was the high activity in XRP trading. The trading volume for XRP increased by 121%, reaching $1.66 billion. This means a total of 3.08 billion XRP were traded in the last 24 hours, indicating strong liquidity.
This level of liquidity is seen as extremely important for XRP’s price movement and is interpreted as potentially helping it approach its long-term target of around $1.
The increase in demand and the corresponding strong liquidity support natural price progression while maintaining market balance. XRP’s recent price resilience is attributed to a combination of whale activity and Ripple’s strategic escrow interventions, both of which strengthen the currency’s stability and growth prospects.
Potential Spot Ethereum ETF Approval Stirred the Market
On the other hand, one of the main catalysts for XRP’s strong market momentum was the renewed optimism regarding the approval of a spot Ethereum ETF. The likelihood of this approval was recently raised from 25% to 75%, igniting positive market sentiment. The U.S. Securities and Exchange Commission (SEC) initiated a communication process with spot Ethereum ETF applicants, fueling discussions that approval might come soon.
The increasing expectations for a spot Ethereum ETF significantly impacted market dynamics, with Ethereum’s strong performance leading the way. This sentiment positively affected XRP as well, and experts believe that if this optimism continues, the activity in the altcoin could become much more intense.
