Gains for XRP – A rally in the making?
XRP’s price increased by more than 4% in the last 24 hours. Market indicators were bullish and suggested a further uptrend.
- XRP’s daily active addresses registered a massive uptick in the last two days.
- The sentiment around XRP also improved, as did its volume and MVRV Ratio.
Ripple [XRP] recently outshone other altcoins as it decoupled from the ongoing market trend. According to CoinMarketCap, XRP’s price went up by over 8% over the last week. In the last 24 hours alone, XRP’s price increased by over 4%.
At the time of writing, the token was trading at $0.5004 with a market capitalization of over $23 billion, making it the sixth largest crypto by market cap.
XRP network activity soars
Not only did the token’s price action turn bullish, but activity on the network registered a massive spike of late. Santiment’s tweet revealed that the blockchain’s daily active addresses increased sharply.
XRP witnessed its second-largest address activity day of all time, with more than 490,000 addresses interacting on the network. Last time, such a massive increase in activity was noted in March. After the past increase, the token’s price rallied by over 45%.
? #XRPNetwork has now had its 2nd & 3rd largest address activity spikes of all time these past 2 days. A mild +4% decoupling has emerged between $XRP & the #altcoin pack, and if history repeats itself from the March 18th activity spike, it could be more. https://t.co/601m4SYUOy pic.twitter.com/AF8k4qtPQv
— Santiment (@santimentfeed) May 30, 2023
Will history repeat itself?
A look at XRP’s on-chain metrics suggested that the possibility of the past repeating itself was high. The recent uptrend was backed by a massive surge in trading volume. The token’s MVRV Ratio was also considerably high.
XRP’s 1-week price volatility has shot up lately, further increasing the chances of a continued surge. In addition to that, the token’s Binance funding rate was green, reflecting its demand in the derivatives market.
Source: Santiment
Sentiment around XRP also seemed to have improved over the last week. The token’s weighted sentiment went up, indicating that confidence in the token was increasing. Likewise, its social volume rose as well.
Source: Santiment
Read Ripple’s [XRP] Price Prediction 2023-24
The bulls are taking over
XRP’s daily chart revealed that the bulls were gaining the upper hand in the market. For instance, the MACD displayed a bullish edge in the market. The token’s Exponential Moving Average (EMA) Ribbon displayed a bullish crossover as well.
However, the Relative Strength Index (RSI) was hovering around the overbought zone. If it enters that spot, selling pressure on XRP might increase. Additionally, the Chaikin Money Flow (CMF) also registered a downtick, which is a bearish signal.
Source: TradingView
