Due to a protracted legal battle, XRP remains a significant enigma in the crypto sphere, igniting investor enthusiasm with recent advancements. This week, a substantial uptick in activity on the XRP Ledger (XRPL) has been observed, coinciding with a surge in XRP prices.
New Address Activity Peaks
Santiment, a prominent player in the cryptocurrency industry, disclosed a notable increase in the creation of new addresses and the overall number of active addresses on the XRPL, reaching their highest points since March.
The firm also highlighted that such spikes in network activity often lead to positive price movements. However, the initial phase of this surge has exhibited a “FOMO effect,” which typically precedes a correction. The sustained activity levels of XRP will be tested in the coming days.
Currently, XRP is experiencing a robust rise, with its price climbing by 8.63% in the last 24 hours, trading around $0.60. Meanwhile, despite a reduced trading volume indicating waning interest, XRP’s market cap has once again surpassed the $33 billion mark.
What Drives Solana’s Growth?
Santiment also commented on Solana (SOL), often considered a competitor and potential “Ethereum killer.” A short-term increase in SOL’s value is anticipated, driven by the community’s skepticism transitioning to enthusiasm.
Since July 4th, Solana’s price has risen by 33%, buoyed by the crowd’s cautious sentiment. Should FOMO replace the prevailing uncertainty, a $200 price point for SOL could be imminent. Presently, SOL is trading at $169.19, maintaining its 5th position in market value and closing in on BNB. The altcoin saw a 3.57% increase in the last 24 hours and 21.73% over the past week.
Key Takeaways for Investors
Investors can draw several valuable insights from these developments:
- Monitor the activity levels on the XRP Ledger to gauge potential price movements.
- Be cautious of the initial FOMO effect, which can lead to sudden corrections.
- Observe Solana’s price dynamics and market sentiment for potential short-term gains.
- Consider the broader market trends and trading volumes when assessing investment decisions.
As these trends unfold, staying informed and vigilant will be crucial for making sound investment choices.