Despite the 35% skyrocketing of XRP, the network did not see many fresh inflows, according to on-chain data. The majority of people who were operating on the network are not newcomers.
Charts show that not many new accounts were activated during this period. In fact, older traders and holders are the primary forces behind this price movement. It appears that only the current community is experiencing the excitement. Despite the price rally, the number of newly activated accounts has remained relatively stable.
However, there has been a discernible rise in both the average number of transactions per ledger and the quantity of payments made between accounts. This behavior indicates that although the total number of participants has not increased, trading and transaction activity among current holders has. It also suggests a lack of wider market acceptance.
The 50 EMA at $0.4968, the 100 EMA at $0.5184 and the 200 EMA at $0.5249 are all significant areas of support and resistance for XRP. XRP may stabilize and perhaps move up to higher resistance levels around $0.65 if it stays above these levels. The token is getting close to overbought conditions, according to the Relative Strength Index (RSI), which could signal a brief correction or consolidation stage.
The sustainability of this upward movement in prices is called into question by the lack of new investor inflows despite the price spike. Bringing in new investors and boosting network activity are critical for XRP to maintain its optimistic trajectory. The rally might not last indefinitely if there are no new investors joining the market.
