On-chain data shows the adoption rate of XRP has accelerated recently, led by an influx of retail-sized investors into the network.
XRP Total Amount of Holders Has Been Sharply Going Up Recently
In a new post on X, the on-chain analytics firm Santiment has talked about the address holder growth that XRP has been witnessing recently. The indicator of relevance here is the “Total Amount of Holders,” which, as its name suggests, keeps track of the total number of addresses on the network that are carrying a non-zero balance.
When the value of this metric registers an increase, it could indicate that new investors are entering the market or old ones who had sold earlier are making a return. The trend can also arise when existing users create new addresses for a purpose like privacy.
In general, whenever the Total Amount of Holders goes up, all three of these are happening to a degree, meaning that some net adoption of the asset could be assumed to be taking place.
On the other hand, the metric heading down implies some of the investors have decided to exit from the cryptocurrency, as they are clearing out their entire balance.
Now, here is the chart for the indicator shared by the analytics firm that shows the trend in its value for XRP over the blockchain’s history:
The value of the metric appears to have been sharply going up in recent months | Source: Santiment on X
As displayed in the above graph, the XRP Total Amount of Holders has enjoyed notable growth in the last few years, but recently, its uptrend has seen acceleration.
The metric is now heading up at a sharp rate, meaning that the network is receiving a flood of new users. After the latest continuation to the increase, there are around 6.07 million non-empty addresses on the chain.
In the chart, Santiment has also attached the data of another metric: the number of wallets holding less than 100 tokens of the cryptocurrency. At the current exchange rate of the coin, this amount is worth $308, so the addresses that would belong to this cohort would be the ones owned by the retail investors.
From the graph, it’s apparent that these small traders have seen their count explode on the XRP network recently. The analytics firm describes this latest period of rise from the cohort as the “most sustained and rapid” in the asset’s history.
Following a jump of 11.6% over the last couple of months, the number of wallets associated with retail investors has increased to around 4.34 million on the blockchain. This means that this group roughly accounts for 71.5% of the entire userbase of the cryptocurency.
XRP Price
XRP has maintained an overall sideways trajectory over the last two weeks as its price is still floating around the $3.08 mark.
Looks like the price of the coin has gone stale recently | Source: XRPUSDT on TradingView
Related Posts
