XRPL User Surge but XRP Price Dips – What’s Happening?
- XRPL’s user demand and revenue surged in Q1 2024, despite a decline in new addresses.
- A well-known XRP whale dumped 50 million coins, impacting market performance.
A recent Messari analysis states that the XRP Ledger (XRPL) saw a notable increase in quarterly user demand between January and March. In the study, “State of XRP Ledger Q1 2024,” XRPL’s quarterly income increased significantly and hit a yearly high during the course of the ninety days.
Among the main conclusions was the rise in the average daily count of addresses—41,00—that finished at least one blockchain transaction. From the 30,000 reported in the final quarter of 2023, this represented a 37% increase.
Increase in Transactions
Transactions carried out on XRPL in Q1 also increased significantly as a result of the increase in active addresses on the blockchain. Over this time, Messari claimed, the network’s average daily transactions increased by 113%.
Remarkably, during the reviewed quarter, fewer new addresses were established on XRPL. Messari attributed this decrease quarter over quarter to the remarkably high number of addresses generated in Q4, the first quarter of inscription activity.
All the same, quarterly new addresses climbed by 29.8% from Q1 2023 to Q1 2024 on an annual basis. Furthermore, as inscription activity decreased, there were 55.9% more deleted addresses QoQ, or 33,000.
Quarterly income for XRPL was unaffected by the drop in new addresses. Dollar revenue for XRPL reached a record high between January and March at $205,000. Over the quarter under review, revenue expressed in its native coin, XRP, increased by 10.3% to 350,000 XRP.
XRP Token Performance
The native XRP coin of XRPL was trading at $0.5174 at the time of publication. CoinMarketCap data shows that throughout the previous seven days, the cryptocurrency has lost 2.22% of its value. Market players are blaming a consistent drop in demand for this value reduction.
According to Santiment data, the daily active addresses of the coin had fallen by 12% in the previous week when measured using a seven-day moving average.
XRP demand fell while its daily profit-to-loss ratio of transaction volume increased. A CNF report also revealed that a well-known XRP whale had dumped almost 50 million coins on the Bitstamp and Bitso exchanges.
