What to Know:
- XRP’s on-chain activity has surged, suggesting a potential bullish breakout.
- Transaction volume and new wallet activations have seen significant increases.
- Despite on-chain optimism, XRP’s price is currently facing resistance at key moving averages.
The XRP Ledger is showing signs of life with a massive surge in on-chain activity, hinting at a potential bullish reversal. Transaction volumes have exceeded one million, accompanied by a notable increase in new wallet creations. This on-chain strength suggests that the underlying fundamentals may be preparing for a significant price movement.
The volume of payments on the XRP Ledger recently surpassed one billion XRP in a single day. The number of transactions exceeding one million is comparable to levels seen during significant price increases in 2021. This increase in network throughput suggests growing utility and adoption of the XRP Ledger.
Technicals indicate that XRP is facing resistance below the 200-day moving average, around $2.65. The 50-day EMA, slightly above $2.58, also presents a strong barrier. Overcoming these levels could signal a shift in momentum and potentially trigger a more substantial rally.
Historically, increases in transaction volume, new wallet creation, and payment activity have preceded price rallies. If XRP can sustain high on-chain activity while stabilizing above $2.40, it could lay the groundwork for a midterm recovery push toward $2.80-$3.00. The current on-chain surge may indicate that XRP is quietly preparing for a significant move.
In conclusion, the surge in XRP’s on-chain activity presents a compelling case for a potential bullish breakout. While the price has yet to reflect this strength, the underlying network metrics suggest that a significant move may be on the horizon. Investors and traders should closely monitor XRP’s price action as it navigates key resistance levels.
Source: Original article
