Altcoins
XRP Market Watch: Can Network Activity Help Altcoins After 9% Drop?
- XRP has seen a double-digit drop in the last 48 hours
- Many addresses have become more active recently
Exchange rate risk has been on the receiving end of significant price movements in recent days, reaching one of its highest levels in months. This upward trend has positively impacted network activity, with the same reflected in an increase in both daily new addresses and active addresses.
New addresses see the day
A recent analysis of Ripple network growth from Holiness revealed a significant increase in network engagement. Typically, the average number of new XRP addresses created each day ranges between 800 and 1,000. However, a notable increase began around July 14. In fact, by July 17, the number of new addresses had risen to over 1,700.
This level of growth in new daily addresses was the most significant increase XRP has seen since March. Such a spike often reflects increased interest and optimism in the asset, potentially driven by favorable market conditions.
Source: Santiment
However, at the time of writing, network growth has dropped dramatically to around 343. This suggests that the number of new daily addresses has declined for the same reasons that caused its initial spike.
More activities
The above analysis also revealed that as the number of new addresses increased, more addresses became active.
On July 17, the number of daily active addresses on RippleThe network has risen to over 47,300, coinciding with a spike in new address creations that have reached a high not seen since March. This simultaneous increase in new and active addresses can be interpreted as a sign of increased overall engagement on the network.
Source: Santiment
While July 18 saw a slight dip in active addresses to over 37,000, these numbers still represent a relatively high level of network activity. Notably, this period marked the first time the network has maintained consecutive daily active address counts above 30,000.
Additionally, an analysis of its 30-day active addresses metric also showed a notable increase. Starting around July 14, there was a clear upward trend. On that day, the number of active addresses was around 208,000. Since then, however, this number has risen to over 232,000.
XRP down
A look at the altcoin’s charts revealed a series of fluctuations in its market behavior. After a notable surge culminating in gains of over 8% on July 17, a surge that pushed its price to around $0.60, the altcoin has been recording consecutive red candles on the charts.
In fact, AMBCrypto found that XRP saw a significant decline of over 9% in the last trading session, bringing its price to around $0.56.
Since then, the price has dropped another 4%, with the cryptocurrency valued at around $0.54 at press time.
Source: TradingView
– Realistic or not, here it is XRP Market Cap in BTC terms
Here, it is worth noting that despite XRP losing so much of its value on the charts, it is not all bad news. Its price is still trading above its long-term moving average (blue line), a key support level.