XRP Payments Plummet 45% – Market Panic or Prime Discount?

On-chain transactions for XRP just nosedived—nearly half its payment volume vanished overnight. Traders are scrambling to interpret the drop: Is this a crypto winter warning or a fire sale in disguise?

Bulls whisper ’accumulation phase’ while bears growl about fading utility. Meanwhile, Wall Street ’experts’ are busy revising price targets—right after missing the crash entirely.

One thing’s certain: In crypto, even dead cats bounce. The question is whether this is a carcass or a coiled spring.

The numbers behind the decline

Over the past twelve months, XRP’s payment volume has experienced a marked decline.

The chart shows that transaction activity peaked between November and December 2024, with multiple surges above the 2-3 billion XRP mark.

Source: xrpscan.com

However, following this burst, the network has entered a prolonged cooldown. From January 2025 onward, daily volumes have rarely crossed 1 billion XRP, and recent levels are scraping the lower bounds of the year’s range.

Even brief upticks in February and April failed to reverse the broader downtrend.

This consistent slide suggests a tapering in user engagement and capital flows across the XRP Ledger, raising concerns about waning institutional and retail interest.

Bearish interpretation

XRP’s ongoing decline in on-chain activity points to a deeper structural shift.

Daily active addresses and transaction volume have been erratic and largely subdued since early 2025, while network growth (at just 1285 at press time) has dropped to near historic lows from highs above 20,000.

Source: Santiment

This stagnation suggests fading user interest and potentially diminished utility across Ripple’s ecosystem.

The downturn coincides with key legal events: while Ripple avoided major penalties in the August 2024 remedies phase, the October appeals likely discouraged developer and institutional engagement.

Even after the SEC dropped its appeal in March 2025, activity failed to rebound.

As of mid-2025, legal clarity hasn’t translated into renewed network momentum.

It’s not all bad

Source: Santiment

While the sustained drop in XRP transactions raises concerns, it could also signal a phase of consolidation.

According to Santiment data, the number of large holders has remained steady, hinting that smart money may be accumulating amid low activity.

Source: TradingView

Trading near $2.19 at press time, XRP appears to be stabilizing after a sharp May drop, with narrow-bodied candles showing indecision. Meanwhile, the RSI hovered just above 42, hinting at approaching oversold conditions.

The MACD histogram showed a slowdown in bearish momentum; often a precursor to a reversal. Coupled with steady whale holdings, this “quiet” phase could indicate strategic accumulation.