XRP Burn Metric Headed to Zero, Is Rally Over?
Analysis
Price Impact
MedReduced xrp burn volume indicates significantly lower network activity and demand for payments, suggesting cooling momentum. however, strong inflows into xrp etfs are maintaining investor optimism, creating conflicting signals.
Trustworthiness
MedThe article cites real data (xrpscan) and acknowledges the burn metric's limited direct predictive power. however, the internal date discrepancy (referencing 'dec. 6' as 'today' and then 'sat, 12/06/2025') impacts the perceived recency and immediate relevance of the news.
Price Direction
NeutralThe significant drop in xrp burn suggests decreased network activity and potential for a correction in the short term. however, strong performance and inflows into existing xrp etfs, combined with persistent investor optimism, are providing significant bullish counter-pressure, leading to a neutral immediate outlook as these forces balance.
Time Effect
ShortThe decline in daily burn volume reflects immediate network activity and potential short-term price adjustments. while etf inflows could offer longer-term support, the current data points to immediate momentum shifts and potential short-term corrections.
Original Article:
Article Content:
Cover image via U.Today Read U.TODAY on Google News Amid the declining crypto market trend, the XRP network activity has also taken a sharp turn from the decently high levels it has seen in recent days to a very low level. Advertisement As of Saturday, Dec. 6, data from XRPSCAN shows that the total number of XRP burned as fees has dropped from 462 XRP on Dec. 5 to just 186 XRP today. Notably, this marks a massive 59.7% decline in the XRP daily burn volume, suggesting significantly reduced network activity amid the broad crypto market uncertainty. HOT Stories Crypto Market Prediction: XRP's Last Chance Before $1, Another Bitcoin (BTC) Wave to Set $100,000 in Stone, Shiba Inu (SHIB) Comeback to the Bottom is Possible Ethereum’s Buterin Advocates for Stronger Crypto XRP Hits Astonishing 1,694,200% Liquidation Imbalance, Vitalik Buterin Breaks Silence on Ethereum Outage, $185 Million in Bitcoin Exits Binance in Minutes – Crypto News Digest Morning Crypto Report: Elon Musk's SpaceX Relocates $100 Million in Bitcoin, USD Stablecoin $1 Million Exploit, New Cloudflare Outage Takes Down Coinbase Is XRP rebound still possible? Although the XRP burn metric has not proven to be a key determinant of its potential price action, the massive slowdown in the metric shows an overall downtrend in XRP’s on-chain movements, which shows that the demand for the asset for payments has been relatively low over the last day. Advertisement Historically, slowdowns like this fee-driven burn activity have often come at a time when the broader crypto market is slipping into another pullback phase. Thus, XRP might be entering another correction phase despite the short-lived resurgence witnessed earlier in the week. Amid this negative trend, all major cryptocurrencies, including Bitcoin , are trading lower than previous levels over the past 24 hours. You Might Also Like Sat, 12/06/2025 - 10:48 XRP ETFs Hit $1 Billion Milestone, What Comes Next? By Tomiwabold Olajide Data from CoinMarketCap shows that XRP has declined by nearly 2% over the last day, trading at around $2.03 as of writing time. While the decline in the burn metric may not be used to predict what the next XRP price action will be, it hints at cooling momentum despite the recent XRP ETF hopes, reflecting a drop in payment transactions from institutions and retailers and also a drop in network movement. Despite these negative on-chain metrics, investors have remained optimistic about a potential breakout for XRP, with many expressing belief that the leading altcoin could still reclaim the crucial $3 level before the end of the year. This resilience portrayed by the XRP community is driven by the rapidly growing inflows pulled in by the existing XRP ETFs that have continued to show strong daily performance. #XRP #XRP Price Prediction #Spot XRP ETF #Bitcoin