From Tuesday to Thursday, XRP accounted for nearly 40% of all trading activity on top South Korean exchanges, driving a significant price surge.
Trading volume in XRP has eclipsed that of Bitcoin on major South Korean crypto exchanges, with XRP comprising 40% of trades on UpBit and over 35% on Bithumb and Korbit. This unusual surge in demand for XRP indicates a short-term preference for the token in the country.
During this period, XRP trading volumes also increased on global platforms such as Binance and OKX, though they did not surpass those of Bitcoin or Ether. Additionally, open interest in XRP futures more than doubled earlier in the week, signaling a bullish outlook among traders.
The trading frenzy in South Korea contributed to a 20% rise in XRP’s price this week. However, by Friday, normal trading patterns resumed, with Bitcoin volumes exceeding those of XRP amid a broader market downturn. Bitcoin fell by 1.3%, while XRP dropped by as much as 8%.
South Korean traders are known for initiating euphoric rallies in the crypto market, often influencing token prices. The recent surge in XRP was partly fueled by extensive local media coverage and mentions by influencers. Bradley Park, a Web3 analyst at CryptoQuant, noted a significant increase in trading volume driven by SEC-related news about Ripple.
The gains in XRP began last week when CME and CF Benchmarks introduced indices and reference rates for the token. Confidence was further bolstered on Wednesday when Ripple Labs CEO Brad Garlinghouse expressed optimism about resolving the ongoing legal dispute with the U.S. Securities and Exchange Commission (SEC) soon.
Despite the recent bullish trend, analysts caution about a potential correction. Ryan Lee, chief analyst at Bitget, warned that the recent surge might lead to a technical pullback. “The recent surge in XRP might trigger a technical correction, so there could be some degree of price pullback in early August. However, if the price can stay above key support levels (e.g., $0.70), it may continue to rise subsequently,” Lee said.
