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On March 19, the number of transactions executed reached 2.77 million, one of the highest spikes in recent months, marking a significant on-chain milestone for XRP. This surge in activity indicates a notable rise in network interaction and usage, which is frequently interpreted as encouraging for investor engagement and asset utility.
From a price standpoint, XRP is still following a descending wedge pattern and is presently trading at about $2.17. The fact that the asset is still confined between the 50 and 100 EMAs suggests that there is unclear direction. The wedge has been closing, and a breakout in either direction could be triggered by the recent increase in on-chain activity.
The steady decline in XRP's trading volume despite the encouraging spike in transactions indicates that market players are being cautious. Usually indicating waning momentum, this falling volume pattern could make it more difficult for XRP to overcome significant resistance levels in the near future.
Tomiwabold OlajideTechnical indicators support this impartial position. As a cap on additional gains, XRP has not been able to move above the 50 EMA resistance line with confidence. A solid support level is provided by the 100 EMA on the downside. Because of the EMA squeeze and the contracting price range, XRP is in a consolidation zone, where a breakout or breakdown is more likely. Maintaining on-chain activity in the future might give XRP the boost it needs to break out of its current range.
An impressive recovery rally is still hazy, though, in the absence of corresponding volume confirmation and a clear move above the 50 EMA. The price action is around the $2.95-$3.00 level, and possible support at $2.30 should be watched by investors, as these could indicate XRP's next direction. Although XRP's on-chain strength is currently a significant plus, price and volume confirmation are still required to confirm a wider recovery.
Vladislav Sopov
Dan Burgin