As XRP appears to have suddenly recovered from the severe price corrections it has consistently witnessed in the past week, the leading altcoin has recorded a dramatic surge in network activity.
According to data provided by the on-chain analytics platform XRPSCAN, XRP has seen its burn rate skyrocket significantly by 60.87% in the last 24 hours.
Following this impressive growth, the amount of XRP burned as fees has increased from the 667 tokens recorded yesterday to 1,073 XRP today.
While the surge has seen XRP burns return to level above the thousand mark after multiple days of bare lows, the metric has restored confidence to the market as it aligns with a sharp price reversal after nearly a week of intense selling pressure.
XRP back on bull track
While XRP had plunged to $2.16 yesterday, marking one of the lowest points of its latest correction, its sudden resurgence during the latter hour of the day has got the crypto community talking.
The sudden shift has seen XRP regain momentum while ripping back above $2.30 during the same day. Following this price surge, XRP has seen its price show a daily increase of 5.24%, trading at around $2.29 as of writing time.
The increase in XRP’s burn rate, coinciding with renewed bullish sentiment, has fueled speculation that XRP may be entering a new phase, set to mirror November's anticipated price rally.
While the launch of proposed XRP ETFs appears to be drawing closer, market watchers have predicted that the growing momentum surrounding the already filed funds could attract more than $1 billion in inflows upon approval.
Furthermore, crypto experts have also shared analysis that if impressive inflows in the XRP ETFs lead to the withdrawal of about 4.95 billion XRP from circulation, XRP’s market cap could surge from $150 billion to a staggering $1 trillion.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team