According to data received on Monday, XRP is suffering on the heels of weak volume and network activity. Over the past 24 hours, the 6th-largest cryptocurrency by market cap is up a modest 0.1 percent.
XRP not seeing enough network activity
Exchange data shows that XRP’s exchange supply ratio (ESR) has remained on the lower end, tumbling to almost 0.03 over the past few months. This shows that the available quantity of the digital asset available on Binance for selling is very limited.
For the uninitiated, the ESR measures the proportion of an asset’s total supply that is currently held on cryptocurrency exchanges, indicating the amount of coins potentially available for trading or selling.
A lower ratio shows low selling pressure, while an increasing ratio indicates more supply flowing onto crypto exchanges, and a higher risk of quick sell-off.
From a supply perspective, a low sell-ready quantity creates a supportive environment for the price, as there has been no meaningful increase in exchange reserves.
That said, XRP’s net value transfer (NVT) ratio has climbed to around 89 – suggesting that network transaction volume is not keeping pace with XRP’s market value.
In other words, the recent price recovery is not being fully supported by stronger on-chain activity, confirming that demand remains relatively weak despite improving market sentiment.
As of Monday, XRP is trading around $1.09. Although the price has somewhat rebounded from recent lows, it has – so far – failed to build a successful upward momentum.
This shows a market where reduced selling pressure is helping stabilize the price – but insufficient network usage, and transaction activity are not allowing a stronger rally.
Encouraging signs for XRP
Despite the low network activity, there are some silver linings that suggest that XRP may be on the verge of a strong breakout to the upside. For instance, the XRP whale inflow to exchanges recently fell to its lowest level since January 2025.
XRP whales also appear to be accumulating the cryptocurrency silently, while retail investors continue to sell.
Similarly, exchange data from Friday shows that XRP holders are withdrawing the cryptocurrency at the fastest pace from exchanges since 2021, suggesting that a supply-crunch could be brewing underneath.
