Logo
Cardano Ecosystem

TheCryptoBasic

12/30/2023

·

62 views


Research Shows XRP Beats BNB, Solana, Cardano in Liquidity Ranking

A research report from the institutional-grade analytic platform Kaiko ranked XRP over Binance (BNB), Solana (SOL), and Cardano (ADA) in terms of liquidity. In a recent tweet, Kaiko recapped its published report that offered a comprehensive liquidity analysis across the top 40 tokens. It challenged the conventional reliance on market capitalization as a key metric

Research Shows XRP Beats BNB, Solana, Cardano in Liquidity Ranking

A research report from the institutional-grade analytic platform Kaiko ranked XRP over Binance (BNB), Solana (SOL), and Cardano (ADA) in terms of liquidity.

In a recent tweet, Kaiko recapped its published report that offered a comprehensive liquidity analysis across the top 40 tokens. It challenged the conventional reliance on market capitalization as a key metric and underscored the significance of liquidity in gauging a token’s actual value.

XRP Leads in Liquidity Ranking

In the third quarter liquidity ranking, Bitcoin (BTC), Ethereum (ETH), and XRP emerge as the top three tokens. The report stated that BTC and ETH have maintained their dominance in both market cap and liquidity. 

Meanwhile, BNB, which leads XRP in market cap ranking, dropped to the eighth position in terms of liquidity as of the third quarter report. Kaiko noted that BNB is mostly liquid on the Binance exchange.

On the other hand, the report indicated that XRP boasted a higher liquidity score. In particular, XRP ranked directly behind Bitcoin and ETH regarding the liquidity metrics.

Further insights from the report highlight that Dogecoin (DOGE), Cardano (ADA), and Solana (SOL) exhibit performances closely aligned with their market capitalizations. Also, the report noted that Litecoin (LTC) outperformed expectations, securing the fifth spot in liquidity. 

Conversely, TON faced a substantial underperformance, ranking ninth by market cap but plummeting to 37th in liquidity. Other projects with substantial gaps between their market valuation and liquidity include Shiba Inu (SHIB), Uniswap (UNI), CryptoCom’s Cronos (CRO), and LEO token. 

- Advertisement -

Besides, the Ethereum layer two Arbitrum (ARB) stood out by surpassing its market cap ranking by 25 spots. Specifically, it secured a position in the top 10 most liquidity coins.

Kaiko Liquidity Ranking
Kaiko Liquidity Ranking

Notably, the third quarter rankings were determined by considering various factors. It included spreads, 0.1% and 1% market depth, volume, and number of liquid exchanges supporting each token. The two distinct market depth levels cater to higher-frequency traders and longer-term holders. 

exchangespng
Ranking based on the number of liquid exchanges

Also, the report highlighted that having more liquid exchanges for a token adds an extra layer of complexity. It makes activities such as oracle manipulation more challenging. BTC, ETH, and XRP led this metric significantly, establishing a notable margin over other tokens.

Follow Us on Twitter and Facebook.

Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.

-Advertisement-

AD

TapTax - Cardano Crypto Taxes Made Simple. Available Now!

Simplify your Crypto Tax experience! From a passive holder, to day trader, to NFT project, we have your taxes covered.BUY NOW!


Read Original Article on TheCryptoBasic

ORIGINAL SOURCE

https://thecryptobasic.com/2023/12/30/re...

Disclaimer: Cardano Feed is a Decentralized News Aggregator that enables journalists, influencers, editors, publishers, websites and community members to share news about the Cardano Ecosystem. User must always do their own research and none of those articles are financial advices. The content is for informational purposes only and does not necessarily reflect our opinion.


Genius Yields DEX Launched!

More from TheCryptoBasic

See more
Analyst Inspects Cardano Hitting $1 Before Bitcoin Halving
TheCryptoBasic
Analyst Inspects Cardano Hitting $1 Before Bitcoin Halving

last Friday at 10:07 AM

·

13 views

Related News

See more
Genius Yields DEX Launched!

Featured News

See more



    DEFAULTENGLISH (EN)SPANISH (ES)RUSSIAN (RU)GERMAN (DE)ITALIAN (IT)POLISH (PL)HUNGARIAN (HU)JAPANESE (JA)THAI (TH)ARABIC (AR)VIETNAMESE (VI)PERSIAN (FA)GREEK (EL)INDONESIAN (ID)ROMANIAN (RO)KOREAN (KO)FRENCH (FR)CZECH (CS)PORTUGUESE (PT)TURKISH (TR)