XRP is once again stuck in tight consolidation, continuing the endless pattern that has kept the altcoin stationary for many days.
The altcoin is garnering new attention from traders, but this interest has yet to translate into significant market participation or price expansion.
XRP investors are withdrawing
The number of active addresses on the XRP Ledger has sharply declined, dropping to 35,931 — its lowest level in over three months. This decline highlights the decreasing commitment from investors as users withdraw from engaging online. The lack of consistent activity reinforces the perception that XRP struggles to create sentiment.
Reduced participation undermines the foundation needed for stabilization. As network activity drops to such low levels, price rallies often lose momentum quickly. This makes it difficult for XRP to build the necessary demand to escape its established range.
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The NVT ratio is flashing a warning signal as it rises to a two-week high. A rising NVT typically indicates that the asset is overvalued relative to its transaction volume. In the case of XRP, muted on-chain activity and elevated valuation pressure create a bearish combination that complicates recovery prospects.
This imbalance suggests that investors may be pricing in optimism that the network's current fundamentals do not support. Until transaction activity increases, XRP is likely to remain vulnerable to corrections despite short speculative rallies.
The price of XRP is $2.08 at the time of writing, remaining above the support at $2.02. The altcoin has been stuck between $2.20 and $2.02 for several days. This reflects a lack of conviction in the direction.
The two-dollar range remains a critical psychological and structural support. XRP may occasionally bounce from $2.02, but according to prevailing sentiment and macro signals, it is likely to stay below $2.20 unless buyer interest strengthens.
As market conditions deteriorate, XRP loses both the support of $2.02 and $2.00, and a bullish-neutral outlook would collapse. A breakout could drop the price below $1.94 and towards $1.85, exposing XRP to deeper losses.
