XRP Struggles as 730M Token Outflow Signals Weakening Investor Confidence

XRP’s price recovery is facing serious challenges following a massive 730 million token outflow from the network’s payment volume. This sharp decline in transactional activity has cast doubt on the asset’s ability to sustain upward momentum, reflecting waning investor confidence. Despite broader market recovery, XRP has struggled to break through key resistance levels, recently hovering around $2.32.

Technical indicators suggest further weakness, as both the 50-day and 100-day moving averages continue to act as resistance, preventing a meaningful rebound. XRP’s price chart shows a pattern of lower highs, indicating reduced buying pressure. The most concerning factor, however, is the significant drop in on-chain payments, a key metric for network health and adoption. Historically, strong transactional activity has fueled price rallies, but the recent decline suggests diminishing user engagement and capital flow within the ecosystem.

As XRP attempts to regain lost ground, traders remain cautious. A lack of bullish momentum and reduced adoption raise concerns about the asset’s future trajectory. Without renewed network activity and increased demand, XRP’s ability to sustain an uptrend remains uncertain.