XRP Price Defies Gravity as Network Activity Tanks—’Overvalued, Not Dead’ Says Analyst
Ripple’s XRP keeps trading at eyebrow-raising valuations despite plunging on-chain metrics. One crypto strategist calls it ’the cockroach of altcoins—hard to kill, but you wouldn’t want it in your portfolio.’
Network usage drops 40% quarter-over-quarter as developers flee to smarter contracts. Yet the token clings to top-10 status—proof that in crypto, brand loyalty outlasts utility.
Meanwhile, Wall Street still can’t decide if this is a ’bridge asset’ or just a lawsuit-riddled relic. Place your bets before the SEC does.
Technical Analysis: Bearish Signals Dominate
XRP trades at $2.09, down over 8% in the last week, and showing signs of fatigue both technically and fundamentally after losing the crucial 20-day Exponential Moving Average (EMA) at $2.16.
On the 4-hour chart, XRP is showing strong signs of bearish momentum. The MACD (12, 26) has dipped below the signal line and remains in negative territory, suggesting continued downward pressure.
There’s no bullish crossover in sight, and the histogram shows increasing red bars, further confirming the strength of the current downtrend.
XRP Daily Chart | Source: TradingView
Meanwhile, the RSI (14) is hovering NEAR 33.59, just above the oversold threshold of 30. This indicates that while XRP is nearing oversold conditions, it is not yet at a technical rebound level. The lack of strong bullish divergence suggests caution for bottom buyers.
The price has also broken below key Fibonacci retracement levels drawn from the recent swing high at $2.25 to the swing low at $2.12.
It’s now approaching the 1.618 extension at $2.03, and could fall further toward the 2.618 level at $1.90 and even $1.77 (3.618) if selling continues. This zone between $1.90 and $1.70 may serve as a critical support zone.
Unless bulls step in quickly and drive price above $2.20 resistance, the structure remains tilted in favor of the bears.
Fundamentals: Development Up, Usage Down
According to on-chain data from Santiment, daily active addresses on the XRP Ledger have dropped to around 40,000, the lowest since November 2024. This is a massive pullback from the March peak of over 600,000.
Moreover, large-value transactions ($100K+) are also declining, signaling a broader loss of high-value engagement.
On the other hand, development activity has risen 196% over the past 30 days, indicating that technical teams are actively building for the ecosystem’s future.
nextXRP is Overvalued but Not Totally Worthless, Claims Expert as Network Activity Drops
