Ripple’s XRP trading volume remained robust on top-tier exchanges in the first quarter, with an average daily volume (ADV) of nearly $3.2 billion, despite a decrease in XRP Ledger (XRPL) activity.
In a report released on May 5 by Ripple, the sustained institutional and retail engagement was highlighted, showing continued interest despite price fluctuations and a slowdown in on-chain activity.
Spot market data revealed intermittent volume spikes for XRP, especially in late January and early February when daily volumes surpassed $16 billion. Activity tapered off in March, with Binance maintaining a dominant market share of around 40%. Other major exchanges included Upbit (15%) and Coinbase (12%). Bybit saw a decline in market share following a platform hack in February.
Trading Behavior and Pair Composition
XRP trading continued to be dominated by stablecoin pairs, with USDT leading the way. The proportion of volume traded via fiat pairs saw a slight increase from 25% in Q4 2024 to 29% in Q1 2025, indicating a shift towards traditional currency markets. Overall, XRP’s liquidity resilience and preference for stablecoin-based markets were evident, outperforming other major altcoins in terms of volume.
At the end of the quarter, XRP was trading at $2.09, with a 30-day ADV of $2.8 billion and a 90-day ADV of $3.3 billion, positioning it behind only Bitcoin and Ethereum in terms of trading activity.
Volatility Conditions and Price Performance
XRP’s price saw significant fluctuations throughout the quarter, reaching a multi-year high of $3.40 in February before retracing to $2.09 by March. Realized volatility ranged from 100% to 150% during the period, influenced by market conditions and regulatory developments.
The price surge was driven by regulatory clarity and product expansion expectations, with profit-taking and market corrections leading to the subsequent decline. Despite this, XRP closed the quarter with an 89% increase in average closing price compared to the previous quarter.
On-chain Metrics Show Contraction
While exchange volume remained strong, on-chain activity on the XRPL decreased in line with broader crypto network trends. Total transactions fell by over 37% quarter-over-quarter, with wallet creation dropping by 40%. Transaction fees decreased by 31%, and average transaction costs in US dollars doubled due to XRP’s price increase.
Despite the decline in core metrics, DeFi activity on the XRPL proved more resilient, with decentralized exchanges’ volume outperforming other major blockchains. Ripple’s USD stablecoin, RLUSD, also saw significant growth in market cap and trading volume.
Overall, XRP’s trading volume remained steady in the first quarter, indicating continued investor interest in short-term trading opportunities.
