XRP, Even as Trading Volume Surges 40%, Price Edges Up Cautiously... Will It Stage a Dramatic Reversal?

▲ XRP (XRP)/ChatGPT-generated image

As activity on the XRP Ledger surges explosively, strengthening the network’s fundamental resilience, a daily transaction volume approaching 2.5 million is laying the technical groundwork for a potential price rebound.

According to crypto media outlet U.Today on February 22 (local time), the number of successful transactions on the XRP Ledger has recently increased by 40%, marking record growth with daily transactions nearing 2.5 million. These figures indicate not mere price speculation but a tangible increase in real-world network usage, including payments, transfers, and application execution. Even amid broader market uncertainty, the sharp rise in operational demand for the ledger itself serves as a strong leading indicator supporting future price appreciation.

Although the network’s intrinsic value continues to trend upward steadily, XRP’s price remains below several moving averages, unable to escape its downtrend. Experts point to the divergence between network activity and price, diagnosing it as a typical early-stage signal of rising infrastructure usage before substantial capital inflows begin. Following a recent steep decline, the price has entered a stabilization phase, moving sideways within a range, supporting the view that selling pressure is gradually weakening and a bottom may be forming.

From a technical analysis perspective, XRP is currently setting $1.40 as a key short-term recovery threshold. If the price fails to hold above $1.40, the recent rebound attempt risks being merely a temporary relief rally. Conversely, if high transaction activity persists and XRP breaks through the major resistance zone between $1.60 and $1.70, market sentiment could shift sharply positive. The current downside support level is forming around $1.36, with investors closely watching whether this zone can be defended.

As global financial institutions focus on the XRP Ledger’s liquidity pools and real-time settlement capabilities, the network’s structural strengths are becoming increasingly prominent. TradingView analysts note that the current market structure—characterized by reduced leverage and diminished speculative trading—actually provides a healthier foundation for accumulation. Given that price movements have historically followed increases in network usage with a delay, expectations are growing that strong on-chain data could once again act as a catalyst for a sharp price surge.

With network activity nearing all-time highs, the XRP market is entering a critical phase of narrowing the gap between fundamentals and price. The daily transaction count of 2.5 million serves as a key indicator that the network is not stagnant but actively functioning. Market participants are placing greater weight on the possibility that the current environment—marked by declining exchange inflows and sustained real on-chain payment demand—could, following price confirmation, translate into long-term upward momentum.

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