coindesk.com
When we think of altcoins like $XRP and their sudden price bursts, the first thing that comes to mind is South Korea, which has a reputation for heavily engaging with alternative coins.
While Korean investors have contributed to $XRP's impressive 30-day price surge of over 400% to $2.60, they're not the only game in town. The stateside investors have been hyperactive through the Nasdaq-listed Coinbase exchange.
The $XRP/USD pair on Coinbase has been consistently pricier than Binance's $XRP/USDT pair in the past 30 days, with minute-level premiums ranging from 3% to 13%, according to data from analytics firm CryptoQuant.
It's a sign of whales being active on Coinbase, according to CryptoQuant's CEO Ki Young Ju. In the meantime, prices have not seen a significant premium on Upbit, South Korea's leading cryptocurrency exchange.
Narratives surrounding crypto adoption under Trump's presidency are likely powering the so-called Coinbase premium.
"The WSJ describes Trump's second term as 'new era for crypto—with fewer government hurdles.' Under a 'litigation peace,' according to the asset's proponents, $XRP will become more accessible to major financial institutions using the asset as a 'bridge currency' for foreign exchange," FRNT Financial said in the newsletter Tuesday, explaining the $XRP rally and booming activity in the U.S. exchanges.
Trump's friendliness to crypto is bolstering the thesis that payments-focused $XRP will become "ubiquitous in international capital flows as a ‘bridge currency’ when settling foreign exchange," FRNT added.
Coinbase lags in trading volume
Volume trends, however, indicate Korean leadership in the $XRP market. On Upbit, $XRP/KRW is the most traded pair of the past 24 hours, with a volume of $7.63 billion, equating to 26% of the total activity, according to data source Coingecko.
On Coinbase, the $XRP/USD pair has seen a trading volume of nearly $1.7 billion in the past 24 hours, the highest among all pairs, accounting for over 17% of the exchange's total turnover of $9.89 billion, according to data source Coingecko. The BTC/USD is the second-most actively traded pair, with a volume of $1.59 billion.
The offshore $XRP market is bigger in volume, likely because the cryptocurrency was unavailable for trading in the U.S. for a long time because Ripple was locked in a legal battle with the SEC over alleged securities law violations for issuing $XRP to institutions and retail investors. However, favorable resolution of the legal tussle early this year prompted exchanges, including Coinbase, to re-list $XRP.