XRP has experienced a notable decline in its coin burning activity, impacting its price and transaction volume.
Decline in XRP Coin Burning
On August 5, XRP experienced a 25.96% drop in coin burning activity according to XRPSCAN data. The amount of XRP burned fell from 2,442 to 1,808. This decline highlights a significant easing of deflationary pressures for one of the largest cryptocurrencies.
Decrease in Transaction Volume
During the same period, the number of payment transactions on the XRP Ledger also significantly decreased, recording a two-month low of 727,329. This drop in transaction volume is attributed to prevailing market uncertainty and reduced investor confidence.
Market Prospects for XRP
Despite the decrease in activity, analysts predict a potential price increase for XRP in the $3.55–$3.65 range if the $3.10 resistance can be maintained. Such changes are seen as part of the dynamic nature of the cryptocurrency market.
The recent decline in burning and transaction activity for XRP underscores the volatility of the cryptocurrency market and the need for careful price trend analysis.
