Ripple’s XRP price has stabilized around the $2.40 mark over the last two days. Investors are searching for signs of recovery following a general downturn in the cryptocurrency market. However, according to data provided by CryptoQuant, transactions on the XRP network have increased by 12%. This surge in on-chain activity raises the question: could it indicate a new upswing for XRP? Let’s take a closer look.
XRP Price Finds Support Above $2.40
After experiencing volatility last week, XRP’s price has found support at $2.40. This support level signals a potential bottom formation for the price. Rising trade tensions between the U.S. and China, along with macroeconomic uncertainties, have caused declines in the broader markets. However, expectations that the U.S. Securities and Exchange Commission (SEC) may drop charges against Ripple 
$1 have created a positive atmosphere for XRP.
With the market calming down on February 6, signs of recovery began to appear for XRP’s price. The popular altcoin has consolidated above the $2.40 level for the past three days.
Notable Increase in Network Transactions
Following the stabilization of XRP’s price, transaction volume on the XRP network has significantly increased. On February 6, approximately 1.7 million transactions were executed, rising to 1.92 million within 48 hours. This increase in transactions indicates a renewed investor confidence and a willingness to add to XRP positions during stable price periods.
As the impact of the trade war between the U.S. and China begins to fade, there are signals that the altcoin is preparing for another rise. If XRP can maintain its position above the current support level and the increase in network transactions continues, investors may target the next resistance point at $2.60. If this level is surpassed, a price movement towards $3.00 could be possible.
Currently, the price finds support around $2.42 and appears to be in a consolidation phase as volatility decreases. Technical indicators such as MACD suggest that selling momentum is diminishing and there may be a potential reversal signal. However, if buying volume does not increase, the XRP price may drop to the next stronger support at $2.18.
