XRP token (XRP) is among the best-performing cryptocurrencies of the day, in the top 100 by market cap, with a price increase superior to 4.5% in the last 24 hours. However, the most relevant surge is within its spot exchange and derivatives volume, both more than doubling up on October 4.
At the time of publication, data retrieved by Finbold from CoinMarketCap and CoinGlass shows impressive surges in both volume indexes in the last 24 hours, with an increase of 104% on the spot exchange volume from the first source, and over 185% in the derivatives operations volume for XRP.
Notably, XRP registered a 24-hour volume of close to $1.8 billion, which corresponds to 6.36% of the digital asset’s market capitalization of close to $28.24 billion, as the token is traded at $0.52 by press time.
Picks for you
Despite this high volume of XRP changing hands in the spot market, the cryptocurrency created by Ripple is now seeing a massive spike in demand for derivative contracts, which gets more meaningful as both Bitcoin’s (BTC) and Ethereum’s (ETH) derivatives volume have plummeted around 30% in the same period.
XRP derivatives with increased trading demand
While XRP gets a 185% volume increase, the two leading projects by market cap are seeing volume losses of 35% and 29%, respectively, in the crypto derivatives trend index by CoinGlass.
Therefore, it means that crypto traders are mostly migrating their derivatives operations towards Ripple’s token, instead of other competitors.
At the time of publication, XRP derivatives registered a total flow of $3.16 billion, being twice as high as the already highlighted spot exchange volume. This amount also corresponds to three times less ETH’s 24-hour derivatives volume, in a divergence related to both cryptocurrencies’ market cap.
Interestingly, as the Open Interest volume increases, XRP investors could possibly expect another price surge for the token, as both metrics seem fairly correlated according to a chart also retrieved from CoinGlass.
Nevertheless, historical correlation does not necessarily mean that the price will continue to follow this metric. Derivatives data also suggests that there are more traders opening short positions, than long positions right now.
