XRP has been one of the worst affected major altcoins from the 2018 crypto market crash, as it plummeted significantly and hasn’t been able to find any significant support until fairly recently. It is important to note that the crypto has been able to garner some momentum over the past month.
Additionally, a recent analysis of XRP’s on-chain data signals that its network is actually very healthy at the moment and has been incurring steady growth, despite its lackluster price action.
XRP Stuck Beneath $0.30, But Network Data Shows Underlying Strength
At the time of writing, XRP is trading down roughly 2% at its current price of $0.291, and the crypto has been unable to break above the $0.30 region despite attempting to do so on several occasions over the past couple of weeks.
Regardless of the cryptocurrency’s price action, it is important to note that a recent in-depth analysis of its network health shows that the crypto is fundamentally strong, in spite of its inability to move past this stubborn resistance level.
CoinMetrics, a popular cryptocurrency research and data analytics group, recently shared their findings on the XRP network’s current health in a thread of tweet, covering everything ranging from market capitalization to the number of active addresses within the network.
One prominent set of network activity that they reference in the thread is the fact that there has been a significant increase in the amount of transactions on the network over the past two weeks.
“There has been some very interesting on-chain activity happening on @Ripple’s XRP recently, let’s take a look! Firstly, there has been a significant increase in the transaction count over the last fortnight,” they said while pointing to the below chart.
1/ There has been some very interesting on-chain activity happening on @Ripple's XRP recently, let's take a look! 🧐
Firstly, there has been a significant increase in the transaction count over the last fortnight. pic.twitter.com/9H5zC1yGrc
— CoinMetrics.io (@coinmetrics) November 2, 2019
Another key data point that they reference is the amount of open XRP addresses with a balance of at least 10 XRP, which has been consistently rising despite the crypto’s poor price performance in recent times.
“Checking the health of some long term on-chain trends, the number of addresses with a balance of at least 10 $XRP continues to increase,” CoinMetrics explained.
6/ Checking the health of some long term on-chain trends, the number of addresses with a balance of at least 10 $XRP continues to increase pic.twitter.com/OxLYLjfIFW
— CoinMetrics.io (@coinmetrics) November 2, 2019
Regardless of XRP’s price performance, it is important to consider the fundamental strength of the asset, which appears to be presently strong and growing stronger with each day, which could ultimately translate into bullish price action.