Ripple recently released its Q3 2023 XRP Markets Report as part of the company’s efforts to provide transparency and updates on “key industry developments and crypto markets movements.” The report also highlighted some of the impressive strides the company made in the third quarter of this year.
How The Crypto Market Fared in Q3 2023
The report noted that the crypto market was majorly unaffected by trends in the broader macro assets and, instead, reacted majorly to industry-specific news and flows of capital. To back this up, Ripple mentioned that Bitcoin decoupled from stocks as BTC’s correlation to the S&P hit historic lows at 0.23 throughout the third quarter of this year.
Meanwhile, certain market developments affected asset prices and liquidity in the market. Ripple highlighted how $686 million was lost to hacks, rug pulls, and scams in the crypto market. One notable occurrence was when there was a hot wallet security breach on the crypto exchange HTX, which resulted in a loss of $8 million (although the funds were later recovered).
Lack of liquidity in the market is said to be one of the factors that has contributed to the low trading volumes being experienced across all assets. Many believe that the approval of the pending Spot Bitcoin ETFs could help drive a new influx of new money into the market.
However, while admitting that all eyes will continue to be on these ETFs, which some have projected to launch early next year, Ripple admits that it is still uncertain if the launch of these funds will mark a massive inflow of capital.
Price reclaims $0.6 | Source: XRPUSD on Tradingview.com
How Ripple And XRP Fared In Q3 2023
The third quarter of this year saw Ripple and XRP enjoy some huge wins, and that didn’t go unnoticed in the report. Ripple highlighted the fact that the US Securities and Exchange Commission (SEC) dismissed its remaining claims against its CEO, Brad Garlinghouse, and Executive Chairman Chris Larsen.
Meanwhile, XRP was relisted on the platform of major US exchanges, including Coinbase and Kraken, following Judge Analisa Torres’ ruling in favor of the crypto company, where she declared that the XRP token wasn’t a security in itself. Interestingly, listing XRP was really beneficial to some exchanges as an exchange like Bullish is said to have gained more market share following this move.
Ripple also made certain proposed amendments to the XRP Ledger in a bid to improve its functionalities. One of them happens to be the AMM (automated market maker), which will be added as a native feature of the network’s decentralized exchange (DEX) once approved. Trading volume on the DEX also increased in Q3, three times more than the previous quarter.
Featured image from Shutterstock, chart from Tradingview.com