XRP Makes Incredible 10-Year Record as Network Activity Soars

For the first time in 10 years, wallets holding at least a unit of Ripple (XRP) have crossed the 5 million mark, Santiment revealed. According to its post on X, the on-chain analytic tool noted that the number of wallets jumped by 104% in the last two years.

📈 #XRPLedger now has 5.02M distinct wallets that hold more than 0 $XRP coins, the most in its now 10+ years of public trading years. The #6 asset in #crypto by market cap has more than doubled such wallets in 3 years (+104%) as the network expands. https://t.co/YZBcHsOuSS pic.twitter.com/o0m6PKE0Re

— Santiment (@santimentfeed) January 27, 2024

A record like this suggests that demand for XRP has improved. It also meant that active users on the XRP Ledger (XRPL) had doubled.

Relief Comes At Last

For context, the XRPL is Ripple’s blockchain system that fosters cross-border payments, the development of smart contracts, and XRP transactions. Despite the milestone, XRP’s price has from hitting a new high.

But at press time, CoinMarketCap showed that the token’s value had increased to $0.53. This price amounted to a 3.64% increase in the last 24 hours.

However, this recent gain has not been able to erase the losses incurred between January 1 and 26.

Based on the 4-hour chart, bulls are attempting to arrest the dominance of bears. This was evident in the Relative Strength Index (RSI). As of January 23, the RSI was 19.60, indicating that XRP was oversold.

However, a quick inflow of funds did not happen until January 26. This buying momentum was able to trigger a rebound for the token. If bulls sustain the buying momentum, XRP could retest $0.55.

But this might also depend on Bitcoin’s (BTC) movement as it seemed to be the one leading the market recovery. If BTC rises towards $43,000, then XRP can jump.

XRP/USD 4-Hour Chart (Source: TradingView)

XRP’s Momentum Is Up for Grabs

Furthermore, a break below $41,000 for BTC might send XRP downwards. Also, volatility has started to increase, the Bollinger Bands (BB) showed. If the bands continue to expand while bulls remain present, XRP’s price might rise higher.

Furthermore, the 20 and 50 Exponential Moving Averages (EMAs) sloped downwards. This suggests that bulls were still facing stiff resistance from bears.

The 20 EMA (blue) also crossed below the 50 EMA (yellow) to confirm the bearish bias. But XRP’s price at $0.53 had risen above both EMAs, suggesting that the upswing could continue.

As it stands, sellers might try to push the price down to 0.52. If this happens, XRP might have trouble holding on to the $0.50 psychological support.

XRP/USD 4-Hour Chart (Source: TradingView)

But if bulls take every space in the driver’s seat, the price might not plunge. Should this be the case, the XRP/USD pair would try to jump past $0.55.

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