XRP Price Stabilizes Amidst Collapsed On-Chain Activity
XRP’s price has begun to stabilize, but its on-chain activity has plummeted to levels not seen since prior to 2025. Network fee volume, a key indicator of transaction demand, has fallen by 91.5% from its February peak.
On-Chain Metrics Signal Capitulation
Data from Glassnode reveals that the 90-day simple moving average of total fees paid on the XRP network has dramatically decreased from 5,900 XRP in February to just 500 XRP currently. Concurrently, XRP’s 90-day realized profit-to-loss ratio has dropped to 0.38, a significant decline from its peak of 50 when XRP traded at $3.40 in January of last year. This ratio indicates that for every $0.38 in profits realized by participants, $1 is being realized in losses, a characteristic often associated with capitulation selling. Further data suggests that large-wallet transfers of 1 million XRP or more to Binance have also declined since the 2025 peak, implying that major holders are not currently engaged in aggressive distribution.
Technical Analysis Points to Consolidation
The current price action is consolidating within a narrow decision zone, with the technical structure reflecting a tension between exhausted sellers and hesitant buyers. XRP is trading below its 100-hour simple moving average, with price action fluctuating between $1.10 and $1.15, following a recent unsuccessful attempt to maintain levels above $1.30. This trend mirrors the broader cryptocurrency market.
Immediate support is identified at the $1.05–$1.10 range, with a secondary demand pocket at $1. Resistance is observed at $1.20–$1.25, followed by $1.30–$1.40. A decisive reclaim of the $1.50 level would signal a shift in short-term momentum, potentially paving the way towards the mid-$1.60s. While bearish momentum persists, the decrease in exchange inflows from large holders suggests that distribution pressure may be easing.
Potential Price Scenarios
Should support at $1.10 hold and trading volume increase, XRP could see a near-term recovery towards $1.20, with a potential to reach $1.30. The cryptocurrency might also continue to consolidate between $1.10 and $1.15 for the upcoming sessions, absorbing sell pressure before any significant directional move. However, in a less favorable scenario, a close below $1.10 could lead to a test of the $1 target, with the $1.00–$0.65 band identified as a macro support zone if the correction deepens. Historically, a profit-to-loss ratio of 0.38 has preceded XRP price recoveries, though timing a bottom amidst a 91.5% contraction in fee volume presents a challenging environment.
Shift Towards Infrastructure Development
XRP’s compressed activity data is indicative of a familiar mid-cycle narrative: the speculation phase has concluded, and the infrastructure phase is commencing. This rotation, moving away from price-momentum strategies towards fundamental utility, is precisely the area that early-stage infrastructure projects are aiming to address.
LiquidChain, a Layer 3 infrastructure project, is positioning itself as a cross-chain liquidity layer, integrating liquidity from Bitcoin, Ethereum, and Solana into a unified execution environment. Its core value proposition centers on a Unified Liquidity Layer with Single-Step Execution and Verifiable Settlement, enabling developers to deploy applications once and access all three ecosystems without the complexities of fragmented bridging or multi-step routing. The $LIQUID token is currently priced at $0.01468, with its presale having raised $830,000 to date. The ongoing raise is in its early stages, reflecting significant traction without the saturation that typically closes early-entry opportunities.
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