The analyst described an imbalance in the latest readings that leaves traders positioned for further gains vulnerable:
“In the current data, long liquidations appear to be higher than short liquidations, suggesting that long positions have been more heavily affected by recent downward price movements.”
$XRP Network Ratio Falls 69%, With Activity in Focus
Alongside the reduction in forced selling, $XRP’s network value-to-transactions ratio, or NVT, declined 69.28% to 36.97 in the analysis. The measure compares market capitalization with onchain transaction volume expressed in dollars. These figures represent the total value of circulating tokens and transfers recorded on the blockchain, respectively.
A lower reading can reflect increased transfers, reduced valuation, or both, so the analyst’s interpretation depends on the underlying changes. If more value moved across the blockchain while NVT decreased, network usage may have strengthened relative to its market value, potentially supporting prices.
Network usage also drew attention during September’s advance, when blockchain analytics firm Santiment counted 1,917 large transactions and 3,647 new wallets as $XRP rose above $1.60 on Sept. 22. Those tallies show activity rather than verified buying: Large transfers can represent sales or internal movements, and new addresses do not necessarily identify new investors.
Spot Buying Remains Central to Sustained $XRP Gains
The distinction between blockchain transfers and purchases also applies to exchange activity, where spot buying involves acquiring $XRP itself. By comparison, perpetual futures provide price exposure without an expiration date and can be traded with leverage on centralized exchanges or decentralized platforms that execute trades through blockchain software.
Fund flows offer another measure of $XRP demand alongside leveraged trading. U.S. spot $XRP exchange-traded funds (ETFs), which hold the asset and offer exposure through shares, recorded $121.4 million in September inflows. For Oct. 2, Sosovalue figures reported Oct. 3 showed $3.28 million in net outflows, all from Bitwise’s fund. The ETFs held combined net assets of $1.658 billion.
The analyst outlined the conditions for a lasting advance:
“If spot market demand also accompanies these developments, it could provide a stronger signal. The decline in liquidations may offer some relief; however, for a sustained rise, spot buying, trading volume, and price structure would need to support the move.”
