Earlier this evening, I saw XRP coin rising nearly 10% and briefly touching $1.47, but something strange — transaction volume on its network actually dropped sharply, down to 230 million tokens. That means a 70% decrease in a single day from the previous 769 million tokens. So the price is going up, but network activity is actually sluggish.

XRP coin is now recovering from the $1.27 level last week, and is currently trading around $1.42. Buyers are starting to return after several days of pressure, which helps short-term momentum. But looking at on-chain metrics, everything is still weak — transaction volume, payment flows, all still below previous highs. It’s a bit odd because usually when the price rises, network activity tends to increase, but this time it’s different.

On the derivatives side, XRP open interest has risen above $2.36 billion as many speculators entered the market. Short position liquidations also contributed to this rally. But interestingly, traders on major exchanges have reduced their exposure by about 3.62%, so there’s still some doubt even as the price climbs. It seems the market remains split between bullish and cautious traders, waiting to see if this rally can be sustainable or if it’s just a temporary bounce.