XRP Sees Strongest Network Growth of the Year, According to Santiment
XRP experienced one of its most significant network growth spurts of the year, with analytics firm Santiment reporting the creation of 4,300 new wallets within a 24-hour period. This marks the fourth-largest spike of 2024. Santiment highlighted the importance of this development, stating that “network growth is among the top leading signals to identify reversals,” positioning the wallet surge alongside on-chain metrics that suggest XRP is trading in a lower-risk zone.
Undervalued Setup for XRP
This data point was also discussed by Santiment’s Brian Quinlivan during a recent livestream. The XRP segment stood out due to a combination of new wallet creation, depressed profitability metrics, and relatively subdued crowd sentiment. Quinlivan noted that XRP’s MVRV setup resembled that of Ethereum, but with a more pronounced long-term drawdown among active holders.
According to Santiment data cited during the livestream, XRP’s 365-day MVRV was approximately negative 35.12%, while its 30-day MVRV had fallen back into negative territory at roughly negative 3%.
Quinlivan argued that this combination places XRP in a statistically less overheated position compared to periods when recent and longer-term holders hold substantial unrealized gains. “Again, that golden rule, they’re both below zero, meaning you’d be buying whether you’re doing short or long-term trading at a less risky point than the average moment in XRP’s 11, 12 year history now,” he said.
He further emphasized the significance of the long-term figure, noting that readings below negative 30% often indicate a point where the average active holder has already absorbed significant losses. “Anything below 30, no matter what asset you’re looking at, that’s something that should provide confidence in your investment because you have something that quantifies how much blood in the streets there is,” he stated. “You can buy knowing that your fellow peers that you’re trading against, you’re not on the same team just because they’re investing in the same asset. You’re buying when those fellow peers have already experienced immense losses that you haven’t because you’d be opening a fresh new entry into XRP.”
Sentiment Analysis
Sentiment data further supported this assessment. Quinlivan noted that XRP’s social tone had been “pretty up and down lately,” but was leaning more negative than usual, which Santiment typically views as constructive from a contrarian perspective. The asset was showing about 1.7 bullish comments for every bearish comment, a level that, while seemingly elevated, is below XRP’s typical social baseline, which tends to be closer to a 2-to-1 bullish ratio.
He added that, excluding an outlier around May 14, XRP sentiment had remained below its typical average for approximately the preceding 10 days. This is significant because, according to Santiment’s framework, excessive bullishness often appears near local tops, while apathy or frustration can emerge near more attractive entry points.
The livestream also contextualized XRP within a broader altcoin environment. Quinlivan observed that many assets have faced negative sentiment due to their failure to follow Bitcoin into a more convincing rally. He cited the rapid fading of market attention around specific integrations or partnerships if price doesn’t respond, using the XRP-related hype surrounding a Rakuten partnership approximately a month prior as an example of how narratives can lose traction without market confirmation.
At the time of this report, XRP was trading at $1.36.
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