Ripple [XRP] saw a brief surge in network activity following the U.S. SEC’s official dismissal of its lawsuit against Ripple on the 19th of March.
Active addresses spiked to a year-to-date high, fueling hopes of renewed momentum. However, the rally was short-lived. On-chain data now reveals a steady decline in active wallets, with whale transactions remaining muted over the past week.
As enthusiasm fades, investors are left questioning whether XRP’s post-lawsuit boost was merely a temporary reaction – or a sign of deeper market hesitation.
XRP activity slumps as post-lawsuit hype fades
Following the U.S. SEC’s dismissal of its lawsuit against Ripple on the 19th of March, XRP saw a sharp spike in network activity, with active addresses hitting a year-to-date high of 626,854.
However, fresh data from Glassnode reveals that this surge was short-lived.
The chart reveals that XRP’s active address count reached its peak on March 19 but has since sharply declined. By the 23rd of March, activity fell to approximately 50,000 addresses, a level not observed in over a month.
This significant drop indicates that the excitement from the legal victory did not lead to sustained adoption or buying momentum.
The pattern of rapid spikes followed by swift declines suggests speculative trading rather than consistent long-term accumulation, raising doubts about XRP’s underlying demand.
Whale activity remains subdued
XRP experienced a short-lived surge in network activity after the SEC lawsuit dismissal, but large investors seem hesitant to engage.
Santiment’s on-chain data shows a notable increase in whale transactions from the 19th to the 20th of March, aligned with the market’s initial response to the lawsuit resolution.
However, whale activity has since declined. The absence of consistent large transactions indicates that major investors are neither accumulating nor offloading XRP significantly.
After the 21st of March, whale transactions became sporadic, with no clear trend of accumulation or distribution. While occasional spikes occurred, they did not indicate any decisive movement from large holders.
Despite fluctuations in XRP’s price, the absence of increased whale activity signals hesitation, reinforcing the notion that the post-lawsuit rally was more of a short-term reaction than a catalyst for sustained momentum.
XRP struggles to gain momentum amid resistance
XRP was trading at $2.4387, at press time, down 0.47%, as its post-lawsuit rally loses steam. The RSI sat at 54.71, signaling neutral momentum, with buying pressure failing to push it above 60.
The MACD line remained slightly above the signal line, suggesting weak bullish momentum, though a bearish crossover could emerge if price action softens.
XRP faces resistance at $2.60, a level it has struggled to breach. Meanwhile, support lies between $2.20 and $2.30 – a break below could invite further downside.
The price remains range-bound, with neither bulls nor bears taking control. A decisive move above $2.60 could reignite upside momentum, while failure to hold $2.30 may signal further weakness in the coming days.
