XRP has picked bullish momentum in the 1-hour chart with a 4.7% increase. Higher timeframes seem equally bullish with the weekly and monthly chart recording a 7.8% and 154% rally, respectively.
XRP price performance has recovered since the start of 2021 when the token experienced a severe correction. The U.S. Securities and Exchange Commission (SEC) lawsuit against Ripple Labs for the alleged illegal sale of a security took a toll on the market.
Many exchange platforms expected the worst and delisted the token. Other Ripple deals also were negatively impacted, such as its cooperation with MoneyGram and payment corridors established with payment solution On-Demand Liquidity. These corridors are used for foreign workers to send remittances back to their home countries and other use cases based on the token.
In consequence, liquidity volumes on these platforms plummeted, but are showing signs of recovery. Monitor Liquidity Index Bot has registered a spike on this metric on 3 out of the 4 payment corridors except for the one set between the then token and PHP (Philippine Peso).The volume on this payment platform has stayed at relatively high levels with a 1,032,894 traded in the last 24-hours. Not that far from its all-time high (ATH) at 3,435,748 if the metric is placed next to the other corridors.
The Australian payment corridors set with exchange BTC Markets for the token and AUD (Australian Dollar) have been the most affected. In the past 24 hours, the liquidity volume remains negative with 346,326. Far from its ATH at 6,891,996. As the chart below shows, the volume has been reverting its downwards trend since April 29th, 2021.
The corridor established with exchange Bitso for the token and the MXN (Mexican Peso) saw low levels of negative volume. This metric has also been on the rise with 2,556,145 traded in the last 24-hours, but still no close to its all-time high and levels recorded during 2020.
Bitstamp shows the highest levels of volume with a 5,189,350 traded in the past day. The liquidity on this exchange for the pair between the token and EUR (Euro) has surpassed the levels it recorded during November and December 2020, when the SEC’s lawsuit was filed but has a long way to go before reaching its ATH at 14,343,363.
Sentiment Around XRP and The SEC’s Lawsuit Has Changed
Recovery on these platforms coincides with a growing sentiment bullish sentiment for the potential outcome on the legal front. Phemex and other exchanges have already re-listed the token. More could follow in the coming days.
In the meantime, Ripple is gearing up. The payment solution company has hired former U.S. Treasurer Rosie Rio to join their Board of Directors and former CFO at PayNearMe Kristina Campbell to occupy the same position at Ripple. Brad Garlinghouse, CEO of the payment solutions company, said:
Rosie’s experience in the public and private sectors provides an invaluable perspective to Ripple, especially during this time as the industry works to define crypto’s future. (…) We are extremely fortunate to have them on the team as we continue our rapid international growth and to champion for regulatory clarity in the U.S.