Is XRP’s 80% Drop in Activity a Bullish Sign or a Market Warning?

$XRP

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XRP’s On-Chain Metrics Signal Decline: A Detailed Analysis

XRP Price Surge Stalls Amid Declining Wallet Growth
Recent data from Glassnode has unveiled a concerning 80% decrease in new wallet creations for XRP since January 2025. This reduction in network growth is casting a shadow over XRP’s price potential, with experts debating its ability to hit the $3 threshold again. At the peak of XRP’s surge in 2024, wallet creations and user activity skyrocketed, reaching nearly 30,000 new wallets daily. However, this momentum has significantly waned, with daily new wallets plummeting to between 2,000 and 5,000 as of mid-June 2025.

Coin Bureau’s Bearish Outlook
According to Coin Bureau, the sharp drop in on-chain engagement suggests a fading interest in XRP, crucially impacting its market dynamics. With fewer new users and declining activity from existing ones, the analyst believes that XRP lacks the necessary support for a price rebound to $3 in the near future.

Contrasting Opinions from Moon Lambo
In contrast, crypto analyst Moon Lambo offers a bullish perspective, suggesting the downturn is merely a natural correction post a high-activity phase influenced by external macro factors, such as the U.S. elections. He argues that the fundamental strength of XRP remains intact, bolstered by sustained, albeit lower, levels of engagement.

Market Trends and XRP’s Position
Adding to the discussion, Moon Lambo highlights a broader market trend of reduced search interest in leading cryptocurrencies like Bitcoin, as shown on Google Trends. This trend supports the notion that the slowdown in XRP’s network activity mirrors a general market cooldown rather than a specific weakness in XRP’s fundamentals.

Exploring Further
For readers interested in a deeper dive into the crypto market’s current dynamics and future potential, visiting Binance can provide additional insights and data.

Final Thoughts
While opinions on XRP’s future price trajectory may vary, the current on-chain data from Glassnode and expert analyses suggest a complex and nuanced market environment. Investors and enthusiasts should continue to monitor these metrics closely as they develop. For more detailed updates and expert insights, consider exploring our dedicated crypto section.