The XRP Ledger’s decentralized exchange (DEX) experienced remarkable growth in the third quarter, which Ripple CEO Brad Garlinghouse recently highlighted. The platform saw an impressive threefold increase in trading volume compared to the previous quarter. This growth, as detailed in Ripple’s market report, primarily occurred between July 12 and August 17, with occasional trading volumes reaching as high as $20-30 million in mid-August.
On-chain activity data from Ripple’s Q3 2023 report provides an in-depth look at the DEX’s operations on the XRP Ledger. The total trading volume for Q3 reached a significant $218.6 million, a substantial jump from the $51.6 million recorded in Q2. While the number of transactions dipped slightly from 99.3 million in Q2 to 90.4 million in Q3, the average closing price of XRP increased from $0.48 to $0.55.
The XRP Ledger’s DEX has been an integral part of the XRP ecosystem since its inception in 2012, facilitating token trading against XRP and other assets.
It’s worth noting that spot trading saw a substantial increase following a court decision against the SEC, peaking at around $4 billion on July 13 and stabilizing at daily volumes of $300-400 million by the end of the quarter. Binance notably dominated the XRP market, holding an average market share of approximately 60% throughout Q3.
Whale activity has surged as well. After a challenging period with a significant price dip in mid-August, XRP has shown signs of recovery, with its price recently reaching $0.60, a level not seen since its downturn on August 16.
This price recovery is accompanied by a notable increase in whale activity, indicating that larger players in the market are once again showing interest in the cryptocurrency. Additionally, the number of wallets holding at least 10,000 XRP has reached an all-time high, further contributing to a positive outlook for XRP.