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The amount of XRP payments between accounts has significantly decreased over the last four days, losing more than two million. This follows a period of high activity on the XRP Ledger, which raises concerns about how long the recent price increase and on-chain performance will last.
In line with its remarkable price spike, the stats indicate a noticeable rise in active accounts, completed transactions and XRP burned on fees earlier this month. Nonetheless, the recent decline in payment volume can indicate a halt in transactions or a change in how market players behave. Early in November, the payment volume graph showed notable peaks that were probably caused by increased trading and whale movements, but they have since tapered off.
Given that XRP failed to sustain its steep upward trajectory, this decline in activity may be a sign that buying impetus has run out. A decline in payment volumes is frequently associated with institutional and retail participants’ failure to follow through.
Following its incredible ascent from $0.50 earlier this month, XRP is currently trading at about $1.11 on the price chart. XRP has maintained this level despite decreased payment volume, indicating that the general market sentiment is still cautiously hopeful.
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This opinion is supported by the volume profile, which indicates lower trading activity than during the rising phase. The asset is still in the overbought zone, according to the RSI, which may signal a correction. The next important levels to keep an eye on are $0.90 and $0.78 if XRP is unable to sustain support at $1.00.
Despite the current situation on the on-chain field, XRP remains one of the strongest assets on the market right now and might turn into a locomotive for the market’s swift ascent.
