News
Old XRP Coins Cause a Stuff Indicating Potential “Buy the Dip” Interest.
Dormant tokens on the XRP ledger have started to move, setting the stage for May’s market activity.
New data suggests that blockchain is seeing another “huge explosion” in the dormant XRP movement, along with rising open interest (AI).
Increased movement of old XRP coins
According to Santiment’s Token Age Consumed metric, there has been a significant increase in the movement of old XRP coins on the ledger, similar to the peak seen just before the April 13 market downturn, during which the cryptocurrency plummeted 16%.
However, in this particular case, there is a compelling argument to suggest that this movement is linked to potential “buy the dip” interest from influential stakeholders, the crypto-analytic platform said in its latest results.
“This time, however, this old coin movement is argued to be tied to potential #buythedip interest from major stakeholders, and prices have risen slightly since this May spike occurred. Also, keep in mind the rising opening interest on the trades, which just hit a 3-week high.”
Interestingly, despite this movement, XRP prices have shown a slight increase since the May peak. Furthermore, the growing opening interest must also be taken into account, which reached $483.4 million, hitting a 3-week high. Therefore, investors rushing to scoop up XRP coins amid the asset’s ongoing relief rally could potentially boost confidence among market participants.
The latest development follows the recent one from the developers of XRP Ledger proposal who suggested implementing direct lending to users through blockchain.
They propose a system to offer fixed-term loans with interest, using mutual funds and without the need for chain collateral. This method depends on off-chain underwriting and risk management, as well as what the developers call a “first loss capital protection scheme” to safeguard the protocol.
Presentation of XRPL solutions in Japan
Last month, Ripple, which uses XRP Ledger for cross-border payment settlement, announced a strategic partnership with HashKey DX to introduce XRPL-based blockchain solutions to the Japanese market.
With this joint venture, SBI Group will become the first Japanese company to leverage this supply chain financing solution.