XRP Price Flashes a Hidden Warning Sign as Network Activity Crashes – Analyst Weighs In

As we reported on Friday, the XRP price stayed mostly flat this week. In fact, the whole Ripple community was more silent than usual. However, Ali Martinez just shared a potentially worrying sign for XRP holders via X.

The XRP chart shared by Martinez reveals a striking decline in new XRP addresses over the past month. From March 16 to April 17, the number of new addresses created daily has fallen dramatically – from over 5,200 at its peak around March 20-22 to just about 2,900 in the most recent data. This means a sharp 44% drop in network growth within a single month.

During this same period, XRP’s price has followed a similar, though less severe, downward trajectory. The token fell from around $2.45 to just over $2.05, marking a decline of approximately 15%.

The considerable gap between these two metrics is particularly interesting. While price dropped by 15%, network participation plummeted by nearly three times that amount. This disproportionate decline in new user activity compared to price movement often signals deeper issues with market sentiment.

What This Could Mean for the XRP Price

Martinez points out that “The XRP network has been shrinking over the past month.” This isn’t good news for investors. When fewer new addresses join the network, it usually means people are losing interest in XRP.

This comes at a bad time. Many other altcoins are sluggish at the moment and XRP is on exception. Without something major to change things – like final resolution announcement against the SEC or getting more big investors – XRP might struggle to keep its current price.

If fewer people keep joining the network, the XRP price could drop below $2.00 and possibly fall to around $1.85. On the flip side, if more addresses start popping up again – maybe because of good news about regulations – more investors might get interested and push the price back up to $2.30-$2.50.

What’s most concerning is that while the price has only dropped a little, the number of new users has fallen a lot more. This suggests people might be losing interest in XRP faster than the price shows right now. This hidden trend might be an early warning about where XRP’s price could go next.

Of course, keep also in mind that the bad network activity could also be something that doesn’t pull the price down at all, it happened in the past.

Read also: We Asked AI to Predict XRP Price If Bitcoin Doesn’t Reach $100K Again in 2025

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Petar Jovanović
Petar Jovanović

As the Head of Content at Captainaltcoin, I bring years of experience in the crypto industry. With a strong belief in the potential of the web3 market since 2017, I'm passionate about sharing valuable insights and knowledge. Feel free to connect with me on LinkedIn and let's discuss the exciting world of cryptocurrencies and decentralized technologies!

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