XRP’s Age Consumed measure has seen noteworthy activity in the token’s movement by long-term holders in an interesting sequence of events whereby it has seen three-fold surges in the previous two weeks. On May 16, the initial surge hit at 214.86 billion.
On May 20, this spike was followed by a more spectacular rise reaching 539.79 billion. Most recently, on May 24, the indicator surged once more suggesting significant token movement.For those not familiar with the term, Age Consumed logs token changes in address over a given period.
XRP’s Tokens Reallocated Significantly
A significant number of once inactive tokens are being relocated when this statistic surges. On the other hand, a low reading points to long-term investors keeping their currency in the same wallet. The recent increases in the Age Consumed indicator have led market players to assume that holders of XRP might be intending for sales.
Still, basing decisions just on the Age Consumed measure could be premature. Using data from Santiment, analysts have assessed XRP’s exchange inflows and outflows in order to provide a better picture. Measuring the tokens sent from outside wallets to exchange addresses, the exchange inflows came out at 211,000.
Usually, a rise in inflows suggests that more tokens might be for sale. Conversely, the outflows of the exchange were 208,000, tokens transferred to non-custodial wallets. This usually suggests that the participating people do not plan to sell shortly.The modest difference between inflows and outflows shows that XRP’s price could not be considerably impacted by the recent movement of idle coins.
At the time of writing, XRP was priced at $0.53, representing a 2.67% growth over the past week. XRP is not likely to show a significant price rise in the next days based on present on-chain indicators. Should the market become bearish, the price might slip to the $0.50 support level, in a bullish future, it might hit $0.55.
Overall, the short-term outlook implies that XRP might remain in a confined trading range. Additionally, the Market Value to Realized Value (MVRV) ratio, which measures whether an asset is undervalued or overpriced, showed a 30-day MVRV of 2.696%. This suggests that the average token holder who bought XRP in the previous 30 days would enjoy positive returns if they sell immediately.
