XRP Burn Rate Explodes: Can the Price Break $3 This Week?

XRP has achieved a new milestone, with total burned tokens reaching a record 14,083,391 XRP, according to XRP Scan. This record reflects rising network activity and growing investor interest. The XRP Ledger (XRPL) permanently removes a small amount of XRP with each transaction to prevent spam and support the network’s long-term sustainability. As transaction volume grows, the cumulative burn total increases.

XRP’s price surged past $3 on Monday, climbing steadily since July 9. Analytics platform Santiment linked this rise to a spike in network growth, particularly a surge in newly created wallets. More wallets typically signal rising retail interest, which also contributes to increased network transactions and more XRP burned.

Market Buzz and RLUSD Boost Sentiment

XRP has recently trended across social platforms, largely due to growing discussion around its utility and future. Analysts and traders have debated its long-term value and how it stacks up against other major cryptocurrencies. Ripple’s launch of RLUSD, a stablecoin on the XRPL, has added to the momentum, reinforcing confidence in the ecosystem.

ProShares’ XRP Futures ETF, expected to launch on July 18, appears to have triggered institutional repositioning. Traders are rotating capital aggressively, especially near key price thresholds. This behavior has led to volatility as institutions try to front-run expected inflows.

Technical Outlook: XRP Eyes $3.40

At the time of writing, XRP trades at $2.97, gaining 2.36% in the past 24 hours and 27% over the week. The $2.85 level remains a strong accumulation zone, while resistance at $2.93 poses the immediate barrier. If XRP breaks above $3.00, bulls may push toward $3.40 and potentially $4.00.

_{Source: CoinMarketCap}

However, any failure to hold above $2.88 might lead to a retest of $2.82. A breakdown below $2.85 could weaken the bullish structure. But with support holding firm, a breakout appears more likely as enthusiasm builds. Investors now await whether XRP can maintain momentum ahead of the ETF launch.

Lanre Durojaiye

Mr. Durojaiye Olusola is a finance graduate and cryptocurrency writer with over a year of experience providing market insights and clear, well-researched analysis. Dedicated to helping readers understand blockchain trends and digital asset developments.

Disclaimer: The information in this article should not be considered financial advice, and FXCryptoNews articles are intended only to provide educational and general information. Please consult with a financial advisor before making any investment decisions.