A recent analysis from market data provider Kaiko shows that XRP witnessed an increase in liquidity in Q2, placing it among the top 3 in liquidity score.
XRP ended the first quarter of the year with an impressive increase in price despite the legal pressure from the SEC lawsuit. Most recently, an analysis from market intelligence provider Kaiko indicates that XRP’s liquidity also showed remarkable improvement in the second quarter.
A prominent crypto journalist, Colin Wu, highlighted the report in a recent tweet. Wu further shared a dedicated link to the Kaiko insight piece.
Q2 Liquidity Ranking by Kaiko:
AVAX liquidity rank improved 7 spots this quarter, SOL and XMR moved up 7 places, ATOM FIL MATIC had a big drop in liquidity rank, APT and ARB have liquidity that far exceeds its market cap. Read more https://t.co/NYFH3cx580 pic.twitter.com/LuYOQrfoJL
— Wu Blockchain (@WuBlockchain) June 29, 2023
Per information from the piece, XRP is among 16 crypto assets on the top 30 list whose liquidity ranking increased in the second quarter compared to market capitalization. Notably, XRP towered over Bitcoin (BTC) and Ethereum (ETH) in this metric.
Kaiko evaluated 30 digital assets based on market value, excluding stablecoins and wrapped tokens. They enhanced their liquidity ranking system by utilizing Asset Metrics and examining trading volume and market depth across more than 35 exchanges.
XRP Volume
Based on the volume analysis, XRP showed remarkable results, ranking third in volume, only behind Bitcoin and Ethereum. According to Kaiko, XRP moved two ranks up from its position in the first quarter. The market data provider ascribed this to a renewal of interest among investors.
Kaiko further noted that XRP saw massive trading volumes in South Korean exchanges. This interest from Korean investors further contributed to the soaring volume. The Crypto Basic called attention to this trend last month, disclosing that XRP remains the top traded asset on Korean exchanges.
Market Depth
In addition to volume, Kaiko considered the market depth of the top 30 crypto assets in this analysis. The market depth takes into account the total magnitude of open orders. It calculates the quantity of buy and sale requests across the market.
The market intelligence provider utilized a market depth of 1%. Based on this, XRP also came third, right behind BTC and ETH. XRP’s market depth surged to the $30 million territories in the year’s second quarter.
XRP Liquidity Score
Overall, combining trade volume and market depth, XRP retained a third spot in terms of liquidity score for the top 30 crypto assets. Positive developments surrounding the Ripple vs. SEC lawsuit contributed to an increase in overall liquidity.
Kaiko regards XRP as one of the biggest movers since the first quarter based on liquidity ranking. XRP is currently changing hands at $0.4790, up 1.31%. The asset aims to establish a firm position above the $0.48 point.
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Source: https://thecryptobasic.com/2023/06/30/analysis-shows-xrp-liquidity-surged-in-q2-sitting-among-top-3-in-liquidity-score/?utm_source=rss&utm_medium=rss&utm_campaign=analysis-shows-xrp-liquidity-surged-in-q2-sitting-among-top-3-in-liquidity-score