XRP Network Experiences Steady Growth as New XRP Addresses Increase.
The XRP network witnesses an impressive growth rate amid promising price movements as the number of new XRP addresses increases.
XRP remains in a bullish position despite the broader market turbulence. Consequently, market watchers have emphasized the asset’s penchant for a rally. The bullish sentiment emanating from this situation has resulted in a steady growth of the XRP network as new XRP addresses see a daily surge.
Ali Martinez, an accomplished trader, first drew public attention to this impressive growth pattern observed on the network of late.
Network growth is often considered one of the most accurate price predictors. Generally, a steady increase in the # of new addresses created on a given blockchain leads to a major price upswing. pic.twitter.com/cI1sVr95pt
— Ali (@ali_charts) June 5, 2023
Highlighting that the number of new addresses has been rapidly increasing since mid-May, Ali emphasized that the XRP network is expanding. The veteran chartist gathered data from Santiment’s Network Growth (XRP) metric, which indicates a steady increase in new addresses.
According to Ali, market watchers usually cite an asset’s network growth as an essential indicator of its next price direction. “Generally, a steady increase in the number of new addresses created on a given blockchain leads to a major price upswing,” he stressed.
The Santiment chart reveals that the number of new XRP addresses created daily started seeing an uptick at the beginning of March. This uptick remained sustained until daily new addresses hit a high of 3,360 addresses on March 29, marking the highest figure this year.
Network Growth Correlates with XRP Price
This increase in newly-created addresses coincided with XRP’s previous rally, which saw the asset rally by 68% from March 11 to March 29. The correlation between the surge in network growth and XRP’s price corroborates Ali’s recent remark.
XRP hit a price of $0.5850, its highest price this year, on March 29, the same day the network witnessed the biggest growth in addresses. In addition, as newly-created addresses started to see a decline, XRP’s price began dropping from the highs observed in March.
Network growth is again witnessing another period of expansion, leading to speculation that the price of XRP will follow suit if this expansion rate is sustained. On June 1, The Crypto Basic disclosed that XRP addresses holding over $10,000 worth of the assets have risen to a value last seen in November 2021.
Meanwhile, XRP is changing hands at $0.5247, down 0.89% in the past 24 hours. The asset has seen over 41% gain in the last 90 days, making it one of the biggest gainers among mainstream assets.