Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
XRP NVT Ratio Spike Indicates Major Price Move Coming

XRP NVT Ratio Spike Indicates Major Price Move Coming

CryptoNewsNetCryptoNewsNet2025/06/20 23:48
By:u.today

The XRP Ledger is flashing a potential warning for traders and investors. The NVT ratio has surged above 280, according to new CryptoQuant data.

This jump may suggest that the price of XRP is rising faster than its actual use on the network, which could indicate the asset is overvalued.

NVT (Network Value to Transactions) is a ratio of the market value of a cryptocurrency to the number of daily transactions on its network. A high NVT ratio implies a reduced flow of tokens through the market. This is often interpreted as a sign that hype is outpacing the fundamentals.

On June 19, data from CryptoQuant showed a steep increase in XRP’s NVT ratio. At the same time, XRP price remained relatively stable around $2.167.

For short-term traders, this may imply that a price correction is more probable when trading volume fails to rise. Long-term investors might view this as an opportunity to reassess risk exposure.

A very high NVT is not necessarily bullish. In some cases, it may simply indicate that the market expects growth or upcoming developments that haven’t yet materialized on-chain.

However, in the absence of significant underlying causes, a sudden NVT spike is a clear sign that network demand is lagging behind price action.

XRP price down

In recent weeks, interest in XRP has increased due to renewed optimism about a potential XRP ETF approval. This could be the time for traders to pay closer attention to both volume and market sentiment, and to monitor key price levels.

If the NVT remains high without a corresponding increase in network activity, downward pressure may be exerted on the price, causing it to decline.

Conversely, if usage begins to catch up, XRP could stabilize and resume its upward trajectory.

XRP NVT Ratio Spike Indicates Major Price Move Coming image 0

Currently, XRP is priced at $2.13, reflecting a modest 1.44% decline over the past 24 hours. Trading volume has surged by 37.34% during the same period, reaching $2.59 billion.

Some traders might view the recent dip as a buying opportunity, particularly given the potential for a price rebound backed by the rising trading volume.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!