XRP was surpassed in trading volume only by Ethereum and Bitcoin, outperforming all other major altcoins in the process.
Ripple’s XRP maintained an average daily trading volume (ADV) of approximately $3.2 billion on top-tier exchanges during the first quarter, while a noticeable decline in activity on the XRP Ledger (XRPL) was observed.
As noted in a report released by Ripple on May 5, the volume trend has been attributed to continued participation from both institutional and retail investors, even amid significant price fluctuations and a slowdown in on-chain activity.
According to spot market data, intermittent volume surges were recorded for XRP, especially in late January and early February when daily trading volumes surpassed $16 billion. As March approached, activity declined, although Binance continued to maintain a leading position, representing nearly 40% of the total exchange volume.
Other prominent trading platforms included Upbit, accounting for 15% of the volume, and Coinbase with 12%. Bybit’s market share experienced a significant drop following a platform breach that disrupted operations in February.
Trading Patterns and Market Pair Dynamics
XRP trading activity continued to be predominantly concentrated in stablecoin pairs, with USDT leading the trend. A slight increase was observed in the share of volume conducted through fiat currency pairs, rising from 25% in the final quarter of 2024 to 29% in the first quarter of this year, suggesting a gradual shift toward conventional financial channels.
Overall, the volume trend has underscored XRP’s strong liquidity and the sustained preference for stablecoin-denominated trading. Compared to the broader market, it outpaced other major altcoins, with the XRP/BTC trading volume ratio increasing by over 10% throughout the quarter.
XRP was positioned ahead of Cardano (ADA), BNB, and Solana (SOL) based on its rolling average dollar trading volume.
By the end of the quarter, XRP was being traded at $2.09, with a 30-day average daily volume (ADV) of $2.8 billion and a 90-day ADV of $3.3 billion, ranking it just behind Bitcoin (BTC) and Ethereum (ETH) in total trading activity.
Market Volatility Trends and XRP Price Movement
XRP’s price movement traced a steep curve throughout the quarter. Beginning at a value below $2.00, the token surged to a multi-year peak of $3.40 in early February, before declining to $2.09 by the close of March.
These price fluctuations were mirrored in realized volatility, which started the year at 150%, dropped to approximately 100% amid a phase of market stability, and then rebounded to settle around 130% for the remainder of the quarter.
The price surge was fueled by growing expectations of regulatory clarity surrounding XRP and the expansion of related products. However, the following decline was influenced by profit-taking activities and broader market adjustments.
Nevertheless, an 89% rise in the average closing price was reflected in XRP’s value at the end of the first quarter when compared to its average closing price in the fourth quarter of the previous year.
On-Chain Data Reflects Network Contraction
Although exchange volume remained stable, a decline in on-chain activity on the XRPL was observed, consistent with broader slowdowns across crypto networks. Total transactions decreased by more than 37% quarter-over-quarter, reaching 105.5 million, while the number of newly created wallets fell by 40% to 423,727.
A 31% reduction was recorded in the amount of XRP burned through transaction fees, while the average cost per transaction in U.S. dollars doubled, driven by the rise in XRP’s market price.
In spite of the decline in fundamental metrics, DeFi activity on the XRPL remained comparatively resilient. The volume on decentralized exchanges experienced a 17% decrease, yet still outperformed on-chain indicators from Bitcoin, Ethereum, and other prominent blockchains.
Ripple’s USD stablecoin, RLUSD, was reported to have exceeded a market capitalization of $90 million, with its cumulative decentralized trading volume surpassing $300 million.
Amid overall market challenges in the first quarter, XRP trading volume was maintained at a steady level, indicating a potential sustained demand or interest from investors in short-term trading opportunities.
