The general crypto market has now gained bullish traction, and XRP has recorded a notable gain in the past day, leading to a retest of the $2.3 price mark on Monday. During this renewed upward action, there has been a significant uptick in on-chain activity, with active wallet addresses rising at a rapid rate.
Explosive Rise In XRP Active Addresses
XRP’s price has risen sharply, breaking past key resistance levels following the growing bullish sentiment across the market. At the same time, the leading network witnessed exponential growth as its user base continued to expand.
A recent report from Santiment, a market intelligence and on-chain data platform, revealed that XRP Ledger is experiencing a sharp increase in activity. Particularly, the number of active wallet addresses on the ledger has grown strongly in recent weeks.
This significant uptick in active addresses on the ledger suggests a possible shift in user engagement and network utility. According to the on-chain platform, the ledger is exhibiting serious signs of growth from the standpoint of key stakeholders and usage.
Such a bullish development implies a resurgence in investors’ interest in XRP as the altcoin slowly recovers its upward trend. The dramatic surge in wallet activity, whether due to institutional testing, growing retail interest, or increased adoption, represents a turning point for the network and its price action.
Data from the platform shows there have been more than 295,000 interacting XRP wallet addresses on average every day in the past week, indicating a robust conviction among retail and institutional investors. Prior to the past week, the ledger’s daily average of interacting wallet addresses was approximately 35,000 to 40,000. Specifically, this range, considered normal, was observed for over three months.
While the active addresses count has risen sharply, accumulation among key investors appears to have increased. Santiment highlighted that whales and sharks have been purchasing the altcoin rapidly during the same time frame.
The platform revealed that more than 2,700 whale and shark wallets currently contain at least 1 million XRP for the first time in the asset’s 12+ year history. When these cohorts accumulate strongly, it implies a robust conviction in the coin’s long-term prospects as they position themselves for an impending rally.
A Short-Term Upward Move Brewing
With large investors’ interest in XRP growing, the development is likely to influence price spikes in the short term. Crypto analyst AlienOvicho has forecasted a potential short-term rally to higher resistance levels despite the last pullback.
Following a flawless retest of the damaged channel, the analyst stated that the altcoin bounced higher. As bullish momentum builds, the token is currently targeting a brief surge toward the $2.35 and $2.41 range.
However, for the asset to reclaim these levels, it must hold above the $2.10 support level. As long as it holds above this area during the subsequent pullback, the structure is constructive and the bulls remain in control.
Featured image from Getty Images, chart from Tradingview.com
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