XRP Price Stalls at $3.10 Resistance with Weak On-Chain Data
XRP price has repeatedly tested the $3.10 resistance since late July but failed to sustain gains. The token formed an inverse head and shoulders pattern, signaling a potential bullish reversal, yet momentum stalled near $3.10. On-chain data from Glassnode reveals active addresses fell to 38,303 by August 27, a sharp decline from over 500,000 in June, indicating weak network usage behind the rally. Crypto traders saw renewed selling pressure as each rally faded without significant volume. Analytical commentary points to a possible fractal-driven breakout targeting $4.30, but lack of supporting on-chain signals and failure to close above key levels cast doubt on sustainability. In the short term, XRP price remains capped by resistance and downtrend pressure. For a credible bullish reversal, traders will watch for a strong close above $3.10 supported by rising active addresses and higher trading volume.
Bearish
The persistent failure of the inverse head and shoulders pattern and repeated rejections at the $3.10 resistance suggest bearish dominance in the near term. Declining active addresses underline weak network engagement, similar to past instances (e.g., late 2024) when low on-chain activity preceded extended downturns. Although a fractal pattern points to a potential breakout toward $4.30, sustainable gains have historically required strong on-chain support and volume. For traders, inability to close above $3.10 with rising addresses typically signals limited buying pressure, increasing the likelihood of renewed sell-offs. In the long term, a sustained rally will depend on improving network metrics and breaking key resistance. Until then, market sentiment remains skewed toward bearish for XRP.