Cryptocurrency analytics platform Santiment says key on-chain metrics are generating healthy signals for XRP.
In a new issue, Santiment looks at XRP’s social volume index and says that discussions about the sixth largest cryptocurrency have been fairly calm, even as the altcoin rose from around $ 0.85 in late September to its current price of $ 1.21 is.
“The social volume of XRP has increased, but not as much as it did in April when the price soared parabolically and people went crazy about it.
This disinterest of the masses has continued to this day. Even if the price goes up, the social volume is still low, which suggests that the crowd may not be as keen on XRP anymore. “
Although mentions of XRP on social media are on the decline, the company found that the Ripple network has seen a massive surge in daily active addresses since its low point in late July.
“The increase in users in connection with the gloomy price action shows that this move does not stem from speculators, but rather from the actual implementation of users on the network for a particular use case …
This is usually a healthy sign of what is to come. “
The source: mood
Santiment also looks at the MVRV 7D index, which is calculated by dividing the market value of XRP by its actual value. According to the company, this metric suggests that XRP could continue to rise in the short term.
“XRP’s MVRV 7D, which measures investors’ short-term gains / losses, shows that XRP still has a small void before entering the danger zone where XRP typically spikes local (short-term).”
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According to Dailyhodl