VELO’s popularity in Asia is good news for the altcoin. Is it so for XRP too though?
- Hike in VELO’s price could be linked to greater activity in the Asian market While XRP’s sentiment fell, VELO spiked to a highly positive reading
VELO, the native token of Velo, a blockchain-based financial protocol with a focus on credit issuance, has taken the crypto-market by storm. In the last 90 days, VELO’s price has appreciated by a staggering 461%.
This performance ensured that the token outperformed many other altcoins on the charts. However, it did not end there. The traction Velo has received recently has attracted a lot of conversations, prompting some market players to call it the “XRP of South East Asia.”
Wait for VELO
AMBCrypto discovered this after checking the social data provided by on-chain analytics tool Santiment. Our findings revealed that VELO’s incredible volume in Asia was the primary reason participants compared it to XRP in the first place. Especially since once upon a time, XRP’s hikes were triggered by volumes on exchanges like UpBit. To this day, XRP remains widely popular in this part of the world.
Apart from that, the project’s integration with Solana [SOL] and the Binance Smart Chain also triggered the hike in attention it got.
At press time, VELO’s volume was $95.95 million. This was a value that tokens outside of the top 100 do not record daily. Therefore, the aforementioned hike is simply a confirmation of interest in the cryptocurrency.
Source: Santiment
Concerning the price, the rising volume could back a further uptrend, and VELO could hit $0.030 within a short while.
For its part, however, XRP’s performance has been underwhelming lately. At the time of writing, XRP’s price was $0.51, with the value of the altcoin down by 1.40% over the last 24 hours. Can VELO replace XRP’s place in Asia?
A local top is coming
Comparing the sentiment around both projects somewhat validated this assertion. According to on-chain data, XRP’s Weighted Sentiment was -0.119 while for VELO, it was 4.518.
Weighted Sentiment underlines the perception the broader market has about a cryptocurrency. Therefore, we can infer that traders were bullish on VELO while the comments linked to XRP were bearish.
Furthermore, the prices can be affected by this data. Should VELO’s Weighted Sentiment reading climb, then demand for the token might continue to jump even more.
On the other hand, lingering negative sentiment for XRP could push the price below $0.50.
Source: Santiment
That being said, traders might need to be wary of VELO. If the sentiment is too high, it could be a sign that the token has hit a local top. In this instance, holders of the token might start to book profits, and VELO’s price might fall on the charts.
Realistic or not, here’s VELO’s market cap in XRP terms
Irrespective of the potential decline, XRP might not be able to match VELO’s performance this cycle.
Even so, its recent performances might spark interest from other corners of the globe. Should this happen, VELO’s market cap could be on the way up.
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