XRP Is Officially in the Retail Spotlight

According to fresh data from Glassnode, the number of active XRP addresses has skyrocketed 490% since 2022—dwarfing Bitcoin's modest 10% uptick

If you're looking for coins that have preferentially attracted retail traders this year, then look no further than XRP. According to fresh data from Glassnode, the number of active XRP addresses has shot up 490% since 2022.

This compares to a modest 10% uptick in Bitcoin (BTC) over the same period, suggesting that BTC's price gains this year have mainly been driven by institutional inflows.

According to multiple reports, several asset managers have applied to launch Bitcoin ETFs in the United States this year.

Meanwhile, XRP's price gains over the last six months appear to be driven mainly by a wave of new traders entering the market and piling into the cryptocurrency.

According to Glassnode, the Realized Capitalization of XRP has increased from $30.1 billion in November 2024 to $64.2 billion in May.

This suggests that around $30 billion in fresh capital has flowed into the XRP market in the last six months, which coincides with the cryptocurrency's 400% price rally over the same period.

Analysts at the crypto market intelligence firm suggest that this "speculative buying" behavior could continue to support further XRP price gains in the short term. However, they also caution that such a sharp buildup in realized capitalization is "not easily sustainable."

According to data from Santiment, the adoption of RLUSD, which is integrated into Ripple's cross-border payments infrastructure to help streamline global transactions, is up 87% since December.

RLUSD stablecoin trading volumes have also shot up to cross the $10 billion mark on exchanges like Kraken.

According to Glassnode, XRP has bounced off a key support level at $1.95 over the last two weeks, which suggests that some strength is returning to the cryptocurrency.

However, the analysts also note that capital inflows into XRP have slowed since late February, and many newer holders are now positioned at higher price points, which could lead to more profit-taking if momentum fades.

If XRP can break above its previous all-time high and sustain gains above that level, then it could continue to rally towards new highs. However, if bearish patterns like a head-and-shoulders formation confirm, then the analysts warn of a potential 40% drop from current levels.