Peter Smith
XRP's push toward $3 has everyone talking, but there's something even more interesting happening behind the scenes - the network is burning tokens at double the rate it was just a week ago.
XRP (Ripple) Burns Explode as Network Gets Busier
On July 15 alone, over 4,500 XRP got destroyed through transaction fees. That's a massive 100% spike compared to the week before, showing just how much more people are actually using the network.
XRP hit a local high at $3.02 and is now hanging around $2.95 after breaking cleanly above that stubborn $2.90 resistance. The price is sitting pretty above all the key moving averages - the 200-day EMA at $2.16, the 50-day at $2.30, and the 100-day at $2.28. With volume staying strong through July, this doesn't look like just another pump.
What's really catching attention is what's happening on-chain. The XRP Ledger has seen payment volume go through the roof over the past month, hitting a daily peak of over 471 million XRP transferred on July 16. When you see this kind of activity, it usually means big players are moving money around - either getting ready for the next leg up or preparing to cut risk if things go south.
XRP (Ripple) Price Faces Technical Headwinds
Here's where it gets interesting for the long game. Every time XRP gets burned through network activity, there's less of it floating around. That's the deflationary story that long-term holders love to hear about.
But there's a catch. With RSI readings above 80, XRP is technically overextended right now. If sellers suddenly show up, we could see a pullback toward $2.70-$2.80. That said, the steady on-chain usage and the doubling of fee burns are clear signs that people are still very much interested in using the network.
The 100% jump in XRP burns suggests the market is actively engaged and possibly gearing up for what's next. But with record network usage bumping up against overbought conditions, traders should buckle up for some volatility ahead.
Peter Smith
