Surprising data from Ripple (XRP): How will it affect the price?

Ripple (XRP) has caused concern among investors with the short increase in inactive tokens in open interest.

With the pullback in the market, a turbulent period began for XRP and other cryptocurrencies. While the Major coin fell by 10.1 percent over a seven-day period, a report by The Crypto Basic confirmed that it outperformed the overall market, which fell by 13.3 percent in the same time frame.

XRP fell as low as $0.4782 in a short time frame, but the a quick rebound move brought rise to the $0.50, $0.51, and finally $0.52 levels. Amid the recovery spurt, Santiment noted an observable increase in dormant XRP movements.

Thought-provoking silence on Ripple (XRP)!

In an analytical paper published yesterday, The Crypto Basic used the Token Age Consumed metric to detect that there was a large increase in the number of old tokens moved by market participants, with the value rising to 130.14 billion on May 1.

Notably, this indicator tracks the amount of XRP moved by traders on a given day and then multiplies this figure by the last time the tokens were moved. The latest data points to the highest value seen since April 13, showing that market participants moved a large amount of dormant XRP tokens on May 1.

Santiment confirmed that while the XRP network witnessed a similar increase of 131.41 billion on April 13, the market responded with a massive crash. This rise coincided with a negative period for the XRP, which recorded a fall of 11.54 percent on April 11 and 12.

However, industry experts believe that the increase in migrated tokens on May 1 could lead to a different outcome. As suggested by Santiment, the recent surge in activity may be due to investors rushing to raise more XRP. This could support the ongoing relief rally that has seen XRP already reclaim $0.52.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should do their own research when making decisions.