XRP on-chain payments crash 45% – Bear market signal or buying opportunity?

• XRP’s on-chain payments have dropped 45%, showing weakened network activity and user engagement
• Despite the slump, stable whale holdings and easing bearish momentum suggest possible quiet accumulation

Ripple’s XRP [XRP] has seen its on-chain payments plunge 45% over the past year, with daily transactions now hovering near their lowest levels in twelve months.

The sharp drop in network activity has sparked debate — is this a sign of sustained bearish pressure, or an overlooked buying opportunity?

The numbers behind the decline

Over the past twelve months, XRP’s payment volume has experienced a marked decline.

The chart shows that transaction activity peaked between November and December 2024, with multiple surges above the 2-3 billion XRP mark.

However, following this burst, the network has entered a prolonged cooldown. From January 2025 onward, daily volumes have rarely crossed 1 billion XRP, and recent levels are scraping the lower bounds of the year’s range.

Even brief upticks in February and April failed to reverse the broader downtrend.

This consistent slide suggests a tapering in user engagement and capital flows across the XRP Ledger, raising concerns about waning institutional and retail interest.

Bearish interpretation

XRP’s ongoing decline in on-chain activity points to a deeper structural shift.

Daily active addresses and transaction volume have been erratic and largely subdued since early 2025, while network growth (at just 1285 at press time) has dropped to near historic lows from highs above 20,000.

This stagnation suggests fading user interest and potentially diminished utility across Ripple’s ecosystem.

The downturn coincides with key legal events: while Ripple avoided major penalties in the August 2024 remedies phase, the October appeals likely discouraged developer and institutional engagement.

Even after the SEC dropped its appeal in March 2025, activity failed to rebound.

As of mid-2025, legal clarity hasn’t translated into renewed network momentum.

It’s not all bad

While the sustained drop in XRP transactions raises concerns, it could also signal a phase of consolidation.

According to Santiment data, the number of large holders has remained steady, hinting that smart money may be accumulating amid low activity.

Trading near $2.19 at press time, XRP appears to be stabilizing after a sharp May drop, with narrow-bodied candles showing indecision. Meanwhile, the RSI hovered just above 42, hinting at approaching oversold conditions.

The MACD histogram showed a slowdown in bearish momentum; often a precursor to a reversal. Coupled with steady whale holdings, this “quiet” phase could indicate strategic accumulation.