XRP Ledger experienced a significant surge in payment volume, increasing over 4.5x in a single day, indicating heightened network activity. Despite the increase in on-chain activity, XRP’s price remains within a declining channel, with buyers struggling to break the upper trend line.
What to Know:
- XRP Ledger experienced a significant surge in payment volume, increasing over 4.5x in a single day, indicating heightened network activity.
- Despite the increase in on-chain activity, XRP’s price remains within a declining channel, with buyers struggling to break the upper trend line.
- The combination of steady active accounts and high payment throughput suggests underlying resilience in XRP, potentially setting the stage for future recoveries.
XRP recently exhibited notable on-chain activity, marked by a substantial increase in payment volume on the XRP Ledger. This surge, which saw over 1.5 billion XRP transferred between accounts, highlights increased network utilization. Despite the price remaining within a declining channel, these on-chain metrics offer a more nuanced perspective.
The technical analysis of XRP reveals a persistent downtrend, with the price confined within a descending channel since October. Buyers have repeatedly failed to breach the upper trend line, and exchange volume has not provided sufficient momentum for a reversal. This pattern suggests continued downward pressure unless a significant shift occurs.
However, the on-chain data presents a contrasting view. The presence of around 200,000 active accounts, coupled with the surge in payment volume, indicates sustained network engagement. This suggests that XRP maintains a solid base of utility, even as price sentiment remains subdued.
The combination of robust on-chain activity and a bearish price chart creates a complex environment for investors. While the technical indicators suggest further downside potential, the underlying network activity points to resilience. A break above the descending channel, supported by consistently high payment volume, would signal a potential shift in market sentiment.
In conclusion, traders should monitor both the technical price action and on-chain metrics to gauge XRP’s future trajectory. The ability to break above the current descending channel, coupled with sustained high payment volume, will be crucial for indicating a potential recovery.
Related: XRP Price: $12M Max Pain for Bears
Source: Original article
Quick Summary
XRP Ledger experienced a significant surge in payment volume, increasing over 4.5x in a single day, indicating heightened network activity. Despite the increase in on-chain activity, XRP’s price remains within a declining channel, with buyers struggling to break the upper trend line.
Source
Information sourced from official Ripple publications, institutional research, regulatory documentation and reputable crypto news outlets.
Author
Ripple Van Winkle is a cryptocurrency analyst and founder of XRP Right Now. He has been active in the crypto space for over 8 years and has generated more than 25 million views across YouTube covering XRP daily.
Editorial Note
Opinions are the author's alone and for informational purposes only. This publication does not provide investment advice.
