Key points:
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Reducing daily activities and signals from new addresses reduces network activity and lowers demand for XRP.
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XRP open interest fell by 30% within one month.
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XRP price is trapped below the main trend line as the classic pattern suggests a drop to $1.20.
XRP (XRP) For the past 30 days, the price has been integrated in the range of $2.05-$2.33, as $3.00 remains elusive. Key data points explain why XRP prices are trapped in the merger, including the XRP Ledger, reducing open interest and weak technology.
XRP Ledger network activity declines
this XRP Ledger In the past six months, network activity has dropped dramatically. GlassNode’s OnChain data shows that the new daily addresses on the network are well below the peak of 2025 that reached 15,823 on January 16. 3,500 new addresses were created Thursday.
Similarly, the number of networks Daily Event Address (DAAS) dropped to 34,360 from Saturday’s high 377,000 highs, indicating a lack of confidence in the near-term outlook for XRP.
Related: Analyst: If this happens, prepare for 530% XRP price to break through to $14
Historically, a decline in network activity often indicates an upcoming price stagnation or decline, as lower transaction volumes reduce liquidity and buying momentum.
Reducing OI reflects XRP price stagnation
XRP cannot be strengthened by reducing $3 Open interest (OI), according to Coinglass data.
The chart below shows that XRP OI has dropped from $5.53 billion to $3.89 billion, indicating that investors are closing positions and expecting a lower XRP price.
Historically, there was a sharp drop in OI interest before XRP prices fell. For example, the current plan reflects a decline in XRP price in January, from a multi-year high of $3.40 in January, causing a 53% XRP price to fall to $1.61.
XRP price is suppressed by moving average
From Cointelegraph Markets Pro and TradingView Indicates that XRP prices are trapped below the critical resistance zone between $2.22 and $2.40. This is all professional place Simple moving average (SMA) Currently sitting.
If the XRP Bulls don’t push the price above the SMA, Altcoin may consolidate on these trend lines for a few weeks. The last two XRP prices were below these trend lines, trading sideways for 30 and 65 days, then sweep the lower levels and then break down the upwards as shown in the figure below.
“XRP price continues to struggle at the $2.25 level,” explain XRP trader and analyst Casitrades in a post about X on Wednesday, adding:
“As long as we remain resistant, we increase the likelihood of lower levels: $2.01, $1.90, or even $1.55 is still on the table.”
This is consistent with the declined triangulation analysis, which suggests that the potential 45% drops to $1.20 if the support is lost.
this RSI On January 20, the 81-year-old’s excessive conditions fell to 51, indicating an increase in bearish momentum.
Also, XRP’s 200-day merger is below $3, probably A large number of upward movement precursors To $10, similar to $ before the strong breakthrough in 2017.
This article does not contain investment advice or advice. Every investment and trading move involves risks and readers should conduct their own research when making decisions.
