The average daily volume of XRP for the third quarter increased more than 100% to $ 403.58 million
The XRP / USD price did not break through the $ 0.26 resistance, although it was trading above this morning
A lower rotation is likely to follow when XRP / USD closes near its current level, as $ 0.2480 offers support
The ripple price (XRP) has not held above $ 0.26, which is likely to lead to more selling pressure in the coming week.
Fundamental Analysis: XRP volume increased more than 100% in the third quarter.
Ripple released its Q3 report which states that XRP’s average daily volume increased more than 100% to $ 403.58 million in the second quarter from $ 196.28 million, indicating a significant increase in network usage. and growing adoption of its liquidity-on-demand (ODL) solution.
Additionally, Ripple reported total XRP revenues of $ 35.84 million, up more than 10% from $ 32.55 million. The company said it is fully focused on over-the-counter (OTC) selling and leasing to provide sufficient liquidity to certain ODL clients.
Ripple spent about 3 billion XRP on sale in the third quarter, of which 2.4 billion XRP went back to the deposit account. Ripple decided to freeze 55 billion XRP in an escrow account in December 2017 and put 1 billion XRP up for sale every month.
The crypto community has expressed concern about this move multiple times in the past, believing it to be one of the reasons for XRP’s average performance, but Brad Garlinghouse, CEO of Ripple, and several other officials have said Ripple lacked the power to control the price. by XRP.
The company also introduced a new line of credit service that allows RippleNet users to raise funds when needed. In other words, users will be able to quickly raise capital in the form of XRP. The credit line is still in the beta phase and has only been made available to some ODL customers.
To allow for stable market growth, Ripple repurchased large quantities of XRP, a move that Ripple says triggered market growth and adjustment.
Technical Analysis: XRP fails due to resistance
The XRP / USD price is trading around 1.5% lower today, despite the fact that ripple buyers gave a huge boost today to print a new 2-month high above the $ 0.26 mark. . In the short term, this area hosts an important resistance zone consisting of 200 DMA and horizontal resistance.
XRP / USD Daily Chart (TradingView)
A strong falling daily candle is likely to make XRP more vulnerable in the short term. A bearish rotation is likely to follow when XRP / USD closes near its current level, as $ 0.2480 offers near support.
Summary
Ripple said its daily average XRP volume increased more than 100% in the third quarter, while total XRP sales excluding purchases in the last quarter were $ 35.85 million, a 10% increase.
