Summary: XRP’s on-chain activity collapses – Can the price hold at $3.10?

XRP: Navigating a Crossroads – Bullish Accumulation Meets Bearish Headwinds! XRP finds itself at a critical juncture, facing a complex tug-of-war between strong bullish signals and concerning bearish indicators. While "whales" have aggressively accumulated over 280 million XRP in just ten days, hinting at long-term confidence, a massive $54 million transfer to Coinbase has sparked fears of a significant sell-off. This immediate uncertainty casts a shadow over the token's recent rally. Currently trading at $3.11, XRP is precariously holding above the crucial $3.10 support level, which bulls must defend to prevent further downside. Technical indicators, including a bearish MACD cross, suggest waning momentum and indecision in price structure. The situation is compounded by a dramatic collapse in XRP’s on-chain activity. Network growth and transaction counts have plummeted since mid-July, signaling a sharp decline in new user acquisition and overall network usage. This rapid drop undermines any sustained bullish narrative and suggests fading market interest. Furthermore, XRP’s valuation appears stretched. Despite a slight cooling in profit-taking risks (MVRV Z-score), the NVT ratio remains elevated at 699, indicating the token might be overpriced relative to its actual utility. This disconnect between price and diminishing usage paints a cautious outlook. For XRP’s rally to survive, a swift rebound in on-chain engagement is paramount. Without a significant recovery in usage metrics, the current bullish momentum could quickly fade, potentially pushing XRP towards $2.63 if the $3.10 support fails. The coming sessions will be decisive for XRP's short-term trajectory.