XRP Jumps 67% in Volume as Crypto Market Liquidations Hit $1.21 Billion

The crypto market saw a sell-off early Friday, extending a downward trend as macro uncertainty and liquidity stress kept traders cautious, with the majority of cryptocurrencies, including XRP, trading in red.

The tone on risk markets deteriorated overnight, ahead of significant Federal Reserve and macroeconomic catalysts.

According to CoinGlass data, $1.21 billion in leverage bets have been liquidated across the crypto market; $943.96 million accounted for long liquidations, while short traders were liquidated for $261 million.

The market’s recovery after last week’s massive liquidation appears to have stalled, with a bounce earlier in the week reversed and major cryptocurrencies falling.

XRP volumes jump 67%

At press time, XRP was trading down 7.31% in the last 24 hours to $2.22 and down 21% weekly.

Amid the sell-off, XRP’s trading volume has increased 67% in the last 24 hours to $9.03 billion, as traders adjusted their positioning.

The focus now shifts to the Federal Reserve’s October FOMC meeting scheduled for Oct. 28-29, when the Fed will make its next monetary policy decision. With the government shutdown now in its third week, investors are paying close attention to the speeches of Fed officials in hopes of finding clues to the future path of monetary policy.

New XRP-focused digital treasury?

According to Bloomberg, which cited anonymous sources, Ripple is leading an effort to raise at least $1 billion to accumulate XRP, with the funds to be housed inside a new digital-asset treasury, or DAT.

The planned DAT, if successful, would be the biggest one to focus on XRP.

Ripple also agreed to acquire treasury management software provider GTreasury for $1 billion, according to a Thursday announcement.