XRP's Mixed Signals: Declining Network Activity and Institutional Accumulation

XRP's recent performance has been a subject of interest among cryptocurrency enthusiasts and analysts alike. On-chain data suggests that the network activity has declined significantly, with new daily addresses on the XRP Ledger plummeting by over 80% since December 2024. This decline in network activity is reflected in the sharp decrease in monthly active supply, which dropped more than 70% to approximately 2 billion XRP.

Despite this decline, institutions are quietly accumulating tokens, with whales accumulating 110 million XRP through March. This institutional interest is a positive sign for XRP's future prospects, although it may not be immediately reflected in the market price. The current market price of XRP remains stable around $1.40, with resistance at $1.45.

Analysts note that the lack of sustained spot demand is a concern, as it indicates that institutional accumulation is absorbing sell pressure but not generating enough buying interest to drive the price higher. This has led some traders to turn their attention to other infrastructure plays with higher upside potential, such as Bitcoin Hyper Presale.