[DigitalToday reporter Hyunwoo Choo (추현우)] XRP trading volume rose 21 percent in a day. The price is hovering near $1.10, but market participation appears to be reviving. U.Today, a blockchain outlet, reported on Thursday that the latest increase in volume is seen as a result of improving market sentiment, an approach to a key resistance level and a possible influx of bottom-buying demand.

The broader cryptocurrency market mood has recovered. After a sharp selloff in June, Bitcoin, Ethereum and major altcoins have stabilised, reviving risk appetite. XRP has a large base of retail investors and high liquidity, and trading has often risen first when funds move back into large-cap altcoins.

Technically, XRP has entered an important zone. After rebounding from the $1 psychological support level, XRP has moved closer to a resistance zone between $1.12 and $1.21. That zone overlaps with the 50-day and 100-day moving averages and a price band that shifted from support to resistance after the June decline.

When prices approach such key levels, trading by both bullish and bearish camps tends to increase. A break above this resistance could add momentum to the recovery, but a pullback could widen volatility again.

A return of speculative bottom-fishing demand was also cited as a factor. XRP fell sharply from a recent local peak and then went through a long consolidation phase. Recently, the price has stabilised above $1, and the relative strength index (RSI) has recovered from oversold territory. That suggests some traders may view current levels as an entry zone.

Still, XRP remains below major long-term resistance levels and has not technically escaped a bearish structure. Even so, the recent rise in volume shows that bottom-buying attempts, resistance tests and a recovery in market sentiment are appearing at the same time. If buying continues, XRP could face an important technical test in the coming weeks.