Hypothetical analysis suggests that the daily trading volume of XRP may need to surge to $40 billion to achieve a double-digit price.
XRP ranks among the primary beneficiaries of the latest mini-bull run, setting a new monthly high at $0.5682 early today. With a floor price of $0.55 at press time, XRP has surged by over 25% within the last seven days.
XRP’s significant gain over the past 24 hours is reflected in its trading volume. Market participants have exchanged a staggering $2,212,069,038 in XRP today, a substantial 54% increase from the value obtainable in the previous day.
As of July 6, when XRP sold for a low of $0.4242, the asset garnered a 24-hour volume of only $723.56 million. Considering the substantial volume XRP wields today, The Crypto Basic examines the daily trading volume the seventh-largest cryptocurrency might need to achieve to see its market value in the double-digit range. Notably, this assessment leverages estimations from OpenAI’s ChatGPT.
XRP May Need $40B in Daily Volume
Trading in double figures implies a price of at least $10 for XRP. Consequently, this prominent AI tool first estimated the price increase ratio of XRP reaching $10 versus its current market value of approximately $0.55.
In particular, XRP demands a growth of over 1,700% to attain a market value above $10, an increase factor of 18.18. ChatGPT assumed a scenario where a proportionate growth in current daily volume would be akin to a similar growth in market value.
As a result, it multiplied XRP’s current trading volume of $2,212,069,038 by the growth factor needed to reach $10, which resulted in a hypothetical daily volume of over $40.24 billion.
How Formidable $40B Trading Volume is for XRP
Presently, only two crypto assets, Bitcoin and USDT, are experiencing daily trading volumes exceeding $40 billion. As of press time, Bitcoin’s volume is $38.11 billion, while USDT’s volume reaches $70.9 billion. In contrast, Ethereum, the altcoin market leader, sees a significantly lower volume of $18.85 billion.
One of the highest trading volumes XRP has recorded was on July 13, 2023, with a volume of $10.39 billion, coinciding with the court ruling that XRP is not a security. When XRP traded at an all-time high (ATH) of $3.84 in January 2018, it saw a volume of $8.1 billion.
Notably, ChatGPT cautioned that the calculation proposing a $40 billion is an oversimplification, as real-world market dynamics are far more intricate. It stressed that many factors could significantly impact the actual trading volume required for XRP to reach $10. They include market liquidity, investor sentiment, prevailing market conditions, and broader economic influences.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
