XRP News Today: XRP Exchange Outflows and Four-Month Low NVT Signal Undervaluation as Technicals Confirm Bullish Momentum

Generated by AI AgentCoin World
Monday, Jul 28, 2025 11:31 am ET1min read
Aime RobotAime Summary

- XRP shows undervaluation signs with $519M in 3-day exchange outflows and a four-month low NVT ratio, indicating strong accumulation and reduced selling pressure.

- Technical indicators like RSI (64.60) and positive MACD confirm bullish momentum, while on-chain data reveals declining exchange-held balances favoring long-term holding.

- Historically, such accumulation patterns precede price appreciation, with XRP trading near its $3.84 all-time high as structural investor sentiment shifts toward value storage.

XRP’s recent market dynamics suggest potential undervaluation amid significant exchange outflows and a historically low Network Value to Transactions (NVT) ratio. Over $519 million worth of XRP has been moved off exchanges in the past three days, indicating strong accumulation by investors and reduced selling pressure. This trend, coupled with a four-month low NVT ratio, signals growing confidence in the asset’s fundamentals and long-term value proposition [1]. On-chain data from Glassnode highlights a steady decline in exchange-held balances, aligning with strategies to hold XRP privately rather than liquidate, a pattern often preceding upward price momentum [2].

The NVT ratio, a metric comparing XRP’s market capitalization to its network transaction volume, has fallen to its lowest level since March 2025. This suggests that transaction activity is outpacing market valuation, reflecting organic usage rather than speculative trading. A declining NVT ratio typically implies undervaluation, as it indicates the network is generating value disproportionate to its current price [3].

Technical indicators further support a bullish outlook. XRP’s Relative Strength Index (RSI) stands at 64.60, remaining below the overbought threshold of 70, suggesting sustained buying momentum without immediate signs of a correction. Meanwhile, the Moving Average Convergence Divergence (MACD) remains positive, though showing slight convergence, which points to controlled bullish momentum [4]. At $3.26, XRP trades close to its all-time high of $3.84, with analysts noting that such consolidation phases often precede breakouts [5].

The market activity underscores a structural shift in investor sentiment. With 163 million XRP tokens (valued at $519 million) withdrawn from exchanges in three days, the asset’s reduced liquidity on trading platforms signals a preference for long-term holding. This behavior, historically associated with price appreciation, reduces short-term supply pressure and reinforces XRP’s position as a store of value [6].

Critically, the combination of low NVT, positive technical indicators, and accumulation trends creates a favorable setup for XRP. While no immediate catalysts are cited in the data, the asset’s metrics align with patterns observed in undervalued markets primed for correction. Investors are advised to monitor on-chain flows and technical levels for further confirmation of upward movement.

Source:

[1] [XRP Shows Signs of Potential Undervaluation Amid Exchange Outflows and Low NVT Ratio July 28, 2025] [https://en.coinotag.com/xrp-shows-signs-of-potential-undervaluation-amid-exchange-outflows-and-low-nvt-ratio/]

[2] [Glassnode on-chain analysis] [https://e.thsi.cn/img/1711518c74655954]

[3] [Network Value to Transactions (NVT) analysis] [https://e.thsi.cn/img/7e3bd3a283839ec7]

[4] [TradingView technical indicators] [https://e.thsi.cn/img/f3ef052a2a94b2e7]

[5] [XRP’s technical analysis and breakout potential] [https://en.coinotag.com/xrp-shows-signs-of-potential-undervaluation-amid-exchange-outflows-and-low-nvt-ratio/]

[6] [Exchange balance dynamics and investor sentiment] [https://en.coinotag.com/xrp-shows-signs-of-potential-undervaluation-amid-exchange-outflows-and-low-nvt-ratio/]

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