Ripple (XRP) price has been stagnant in the $0.47 – $0.49 range over the past week. However, as the media buzz surrounding XRP cooled, core economic activity on the network intensified. Is the altcoin ready for a price breakout this week? Crypto expert Ibrahim Ajibade explains why XRP will be on the list of top earners in the coming weeks, based on historical trading patterns.
Media buzz for altcoin has calmed down significantly
cryptocoin.com As you follow, XRP reached a new 2023 high on June 7th. It also dominated the crypto media headlines in early June. But since then, the buzz seems to have cooled considerably. The Social Volume data below from Santiment shows that since June 7, mentions of XRP have dropped more than 98%.
Ripple (XRP) Price Breakdown. June 2023. Social Volume / Source: SantimentThe Social Volume metric evaluates how many times a Blockchain project is mentioned in relevant crypto media channels. When it drops significantly as above, it indicates that the price has reached a local bottom. Strategic investors often try to enter the market at times when sentiment among current holders is relatively low. Hence, potential investors looking to buy XRP at the low level may start to enter the market in the coming weeks.
Rising network activity could initiate another XRP price breakout
The relative decline in media coverage has seen XRP drop a little lower on investors’ radars. However, on-chain data shows that XRP holders have intensified their trading activities over the past few days. The XRP Ledger network has consistently surpassed 135,000 Daily Active Users since June 23. Notably, it has crossed 100,000 only ten times this year. The chart below shows the XRP price soaring by 40% and 15% in both cases where active addresses are increasing hugely on a daily basis.
Ripple (XRP) Price Breakdown. June 2023. Daily Active Addresses / Source: SantimentDaily Active Addresses collects the number of unique wallet addresses that have transacted. Thus, it evaluates the daily economic activity in a Blockchain network. As you can see above, the underlying economic activity on the network continued to increase even though the altcoin price stagnated below $0.50. If this momentum continues, it is possible that this positive divergence could trigger a price breakout in the coming weeks.
XRP price prediction: Potential aim Right to $0.60?
Considering the factors mentioned above, the XRP price looks set to reach the new 2023 high of $0.60 in the coming weeks. The MVRV rate, currently at $0.48, shows that most crypto investors who bought XRP in the past 30 days are still at a loss of 4%.
Given the historical trends, investors are likely to wait until it breaks even before it starts selling around $0.50. And if the bull whales can scale this resistance, the altcoin price could approach the new 2023 high of $0.60.
Ripple (XRP) Price Prediction. MVRV Ratio. June 2023. / Source: SantimentIf the altcoin unexpectedly drops below $0.45, it is possible for the bears to negatively affect the potential price analysis. However, a large number of investors will step in to avoid a 10% loss. Accordingly, investors will likely offer bullish support in this region. Otherwise, XRP is likely to drop further towards the next key support at $0.40.
