Crash

Galaxy

<ul> 
 <li style="font-weight: 400;">XRP Ledger AMM pools surpass 13M XRP, boosting liquidity and strengthening the XRPL decentralized exchange ecosystem.</li> 
 <li style="font-weight: 400;">XRP price drops 11% despite liquidity growth, with analysts watching key support at $2.30 and potential dip to $1.60.</li> 
</ul> 
Liquidity within the XRP Ledger’s automated market maker (AMM) pools has reached a new milestone, <a href="https://x.com/blocscalex/status/1894103083606519958" target="_blank" rel="noopener">surpassing </a>13 million XRP. This surge highlights the growing adoption of AMMs within the XRPL decentralized exchange (DEX) and increasing user participation in liquidity provision.&nbsp; 
The rise in pooled XRP enhances network liquidity, stabilizing trading activities and strengthening the total value locked (TVL). As XRP’s price fluctuates amid broader market conditions, analysts are evaluating the potential impact of this liquidity growth on future price movements. 
<h3 id="strong-surging-liquidity-in-xrp-ledger-s-amm-pools-strong">Surging Liquidity in XRP Ledger’s AMM Pools</h3> 
Recent data from <a href="https://xrpscan.com/amms" target="_blank" rel="noopener">XRP Scan</a> reveals that the total XRP pooled in AMMs now stands at 13,276,182 XRP, valued at approximately $30 million at current market prices. This marks a significant increase in liquidity, coinciding with a broader interest in decentralized finance (DeFi) within the XRP ecosystem. 
The number of active AMM pools has also grown, with 18,468 pools now operating on the XRP Ledger, supporting 17,059 total assets. Notably, the <a href="https://x.com/xrpscan/status/1885055387088396738" target="_blank" rel="noopener">launch </a>of the RLUSD/XRP AMM pool contributed to this surge, gaining immediate traction after the AMM Clawback amendment secured validator approval. The RLUSD/XRP pool has now amassed 671,272 XRP ($1.52 million) in liquidity, making it the fourth-largest pool on the network. Meanwhile, the CRYPTO/XRP pool leads with 3.8 million XRP ($8.7 million) locked. 
This rapid expansion suggests increasing confidence in XRPL’s liquidity mechanisms, with liquidity providers playing a crucial role in bolstering market stability. As the market continues to adjust, XRP’s ability to sustain high liquidity in AMM pools could play a crucial role in its long-term price stability. 
According to <a href="https://www.ethnews.com/why-xrp-and-ada-remain-top-cryptos-novogratz-explains/" target="_blank" rel="noopener">Ethnews</a>, Galaxy Digital CEO Mike Novogratz recently discussed the enduring dominance of Ripple’s XRP and Cardano’s ADA in the crypto market. Speaking with Pantera Capital’s Dan Morehead on the Galaxy Brain podcast, Novogratz attributed their sustained success to their early market entries 
<h3 id="strong-xrp-price-tanks-11-amid-market-crash-strong">XRP Price Tanks 11% Amid Market Crash</h3> 
Despite the liquidity growth, XRP’s price has faced downward pressure, dropping over 11% amid a broader cryptocurrency market decline. Currently trading at $2.21, XRP has fallen from its 24-hour high of $2.60, with its daily trading volume soaring 139% to $8.33 billion. 
Technical indicators show that XRP’s Relative Strength Index (RSI) is nearing oversold conditions, suggesting the potential for a rebound. However, investor sentiment remains cautious, as evidenced by a 15% drop in XRP’s futures open interest, now standing at $3.18 billion. 
<figure id="attachment_163513" aria-describedby="caption-attachment-163513" style="width: 100%" class="wp-caption aligncenter">
 <img loading="lazy" decoding="async" class="wp-image-163513 size-full" src="https://www.ethnews.com/wp-content/uploads/2025/02/XRPUSD_2025-02-25_16-48-33.png" alt="" width="1041" height="545">
 <figcaption id="caption-attachment-163513" class="wp-caption-text">
 XRP/USD daily chart.Source:<a href="https://www.tradingview.com/x/GQbya4Ou/" target="_blank" rel="noopener">TradingView</a>
 </figcaption>
</figure> 
Market analysts have identified key support and resistance levels that could determine XRP’s next move. According to<a href="https://x.com/egragcrypto/status/1894060262459944968" target="_blank" rel="noopener"> EGRAG CRYPTO</a>, if XRP fails to hold its current support level, it could slide further to $1.60. The analyst emphasized that maintaining a close above $2.30 is crucial to prevent a deeper correction. On the upside, breaking past $2.60 could signal bullish momentum, with a move above $2.85 considered “super bullish.” 
Meanwhile, analyst Ali Martinez <a href="https://x.com/ali_charts/status/1894327981591728575" target="_blank" rel="noopener">suggested </a>that XRP is breaking out of an ascending parallel channel, hinting at a potential decline toward $1.65. These price movements highlight the uncertainty surrounding XRP’s short-term outlook despite the growing liquidity within the ecosystem. 
<h3 id="strong-what-s-next-for-xrp-and-xrpl-liquidity-strong">What’s Next for XRP and XRPL Liquidity?</h3> 
The rise in XRP’s AMM liquidity pools has sparked optimism among ecosystem participants, with many viewing it as a sign of the network’s strengthening financial infrastructure. XP Market, a major XRPL-focused platform, called the milestone a testament to XRP Ledger’s expanding DeFi capabilities. 
Some analysts believe XRPL’s AMM pools could act as a hedge against market volatility. Panos Mekras, co-founder of Anodos, <a href="https://x.com/xpmarket/status/1894101422561464598" target="_blank" rel="noopener">suggested </a>that providing liquidity in stablecoin pairs could mitigate losses during downturns, even if AMMs have drawbacks during market uptrends. 
Despite these developments, XRP whales have been cautious, offloading over 81 million XRP onto exchanges during the recent downturn. This selling pressure has contributed to XRP’s declining price, raising questions about whether the current liquidity growth can offset bearish market trends. 
The post <a href="https://www.ethnews.com/xrp-ledger-sees-record-13m-xrp-locked-in-amm-pools-whats-next/">XRP Ledger Sees Record 13M XRP Locked in AMM Pools – What’s Next?</a> appeared first on <a href="https://www.ethnews.com">ETHNews</a>.

XRP Ledger Sees Record 13M XRP Locked in AMM Pools – What’s Next?

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