Bitrabo Editorial
Recent on-chain data indicates a significant increase in activity and the creation of addresses on the XRP network, which could signal positive market trends.
Surge in XRP Active Addresses and Network Expansion
Insights from the on-chain analytics platform Santiment reveal a notable uptick in address-related metrics for XRP. One key statistic is the “Daily Active Addresses,” which counts the total number of unique addresses engaged in transfer activities each day.
The unique count of active addresses can be interpreted as the number of users utilizing the network, providing an indication of the network’s daily traffic levels.
Another important metric is Network Growth, which tracks the creation of new addresses on the blockchain daily. An address is classified as ‘created’ when it performs its first transaction.
While Daily Active Addresses reflect the network’s utility, Network Growth indicates the ongoing adoption of the cryptocurrency.
Here’s a visual representation showing the trends in Daily Active Addresses and Network Growth for XRP over the last month:
The chart illustrates a significant rise in both XRP Active Addresses and Network Growth in the past days, indicating enhanced utility and adoption of the network.
Recently, the blockchain recorded transactions from 35,799 unique users, marking the highest activity level since July. Additionally, 3,858 new users have registered on the network, the largest increase since March.
The implications of these trends for the asset vary between the two metrics. Increased adoption typically signals long-term bullish potential, as a larger user base can contribute to more stable future price increases. Conversely, increased utility may lead to short-term price fluctuations due to heightened trading activities from users.
This volatility can impact the asset in multiple ways, influenced by the nature of the users’ actions. The Daily Active Addresses statistic alone doesn’t provide insight into these dynamics, making it challenging to make predictions based solely on this data.
Given the increase in activity coinciding with the coin’s price consolidation, it’s plausible that users are entering a buying phase. If this trend continues, XRP might initiate a new upward movement.
XRP Price Update
Currently, XRP’s price remains around $0.544, showing limited recovery following an initial drop earlier this month.