Ripple USD (RLUSD) volume has dropped off a cliff, plunging by over 57% in the last 24 hours and raising eyebrows across the crypto community. According to CoinMarketCap, RLUSD trading volume fell by a staggering 60.14%, landing at just $44.63 million—a significant pullback for Ripple’s stablecoin.
This drastic collapse in Ripple USD (RLUSD) Volume is fueling fresh concerns about market demand, potential liquidity issues, and what this means for XRP, Ripple’s native asset. But in a twist that few expected, XRP appears to be surging in activity despite the stablecoin’s decline.
Analysts say the drop in Ripple USD (RLUSD) Volume may be directly tied to a pause in RLUSD issuance. According to a U.Today report, Ripple Labs hasn’t minted a single RLUSD token in over 41 days.
“This suggests a deliberate supply restriction, possibly to control circulation and stabilize value,” said Matt Hamilton, former Ripple director and crypto consultant. “It also reflects waning demand during a transitional phase for the broader stablecoin market.”
The decline in Ripple USD (RLUSD) Volume seems to echo user behavior, as traders increasingly pivot back toward major players like USDT and USDC amid current market uncertainty.
Despite the significant slide in Ripple USD (RLUSD) Volume, XRP is telling a different story. While RLUSD demand has evaporated, XRP’s trading volume has soared by 75.12% to $3.51 billion in the last 24 hours. XRP is also showing price resilience, climbing from $2.08 to $2.18, with only a minor 0.28% daily decline.
This performance suggests that XRP is decoupling from RLUSD’s short-term trajectory.
“XRP is now seen as a standalone asset with cross-border utility, not just a native token tied to RLUSD liquidity,” said Katie Talati, Head of Research at Arca. “That kind of maturity is rare in this space.”
The steep fall in Ripple USD (RLUSD) Volume may create temporary liquidity gaps for decentralized exchanges and dApps on the XRP Ledger (XRPL).
Since RLUSD was being positioned as Ripple’s in-house answer to competing stablecoins, the decline could also affect confidence in its broader adoption.
Yet, Ripple’s recent regulatory approval in Dubai could offset these concerns. This development may pave the way for fresh institutional use cases for RLUSD, even if the token is currently in a quiet phase.
“Regulatory clarity often precedes liquidity injections,” said Larsen Naeem, senior market analyst at FX Street. “If Ripple resumes minting, we may see Ripple USD (RLUSD) Volume recover quickly.”
Some analysts view the decline in Ripple USD (RLUSD) Volume as a temporary adjustment rather than a death sentence for the stablecoin.
The drop could reflect Ripple’s effort to recalibrate its stablecoin model in response to evolving regulatory and competitive landscapes.
And with the broader crypto market signaling a potential uptrend, RLUSD may still return to form, especially if paired with real-world institutional adoption.
The ongoing downturn in Ripple USD (RLUSD) Volume marks a pivotal moment for Ripple’s ecosystem. However, XRP’s volume and price action show strong signs of resilience and independence.
While Ripple recalibrates its stablecoin strategy, the bullish behavior around XRP reinforces the idea that utility-driven tokens can thrive even when linked assets falter.
If Ripple can reintroduce RLUSD with improved demand and fresh partnerships, both assets could yet shine in the evolving Web3 financial stack.
Despite the sharp decline in Ripple USD (RLUSD) volume, the broader Ripple ecosystem isn’t showing signs of distress. XRP’s trading activity has actually picked up, suggesting that market participants still see strong utility in the token, particularly for cross-border payments.
While RLUSD’s slowdown might indicate a strategic pause, it also creates space for Ripple to fine-tune its stablecoin roadmap. Traders and analysts alike are watching closely, not for collapse, but for the next signal of institutional movement.
Davidson Okechukwu is a passionate crypto journalist/writer and Web3 enthusiast, focusing on blockchain innovation, deFI, NFT ecosystems, and the societal impact of decentralized systems. His engaging style bridges the gap between technology and everyday understanding with a degree in Computer Science and various professional certifications from prestigious institutions. With over four years of experience in the crypto and DeFi space, Davidson combines his technical knowledge with a keen understanding of market dynamics. In addition to his work in cryptocurrency, he is a dedicated realtor and web management professional.