In the last quarter, XRP showed strong growth; however, there is a current drop in interest in the cryptocurrency. We will examine the reasons for this phenomenon and its consequences.
XRP Situation and Active Addresses
Between late October 2024 and mid-January 2025, XRP experienced one of the strongest rallies in the current bull market, gaining 600%. However, the current number of active XRP addresses has dropped by 490%, indicating a decline in interest among investors.
Investment Dynamics and Holder Sentiment
Since early 2022, both Bitcoin and XRP have shown a growth of 500-600%. However, increased investment volumes in XRP have been observed in the last six months, contributing to the wealth shift from older to newer holders. Nevertheless, there is a decline in confidence among new investors, who are realizing more losses than profits.
Outlook and Possible Scenarios for XRP
XRP has repeatedly found support at the $2 level, but the likelihood of breaking below this level is increasing with each retest. There is a possibility of a quick rise within the range of $2.08 - $2.13; however, concerns about bearish patterns forming on a longer time frame raise questions about the future price movements.
In light of the current market trends, XRP remains uncertain. The decrease in interest and price may affect future investments and activity in the cryptocurrency space.
