Although XRP remains under bearish pressure, the asset’s network activity has surged, signaling a potential buildup ahead of a major rally.

Specifically, the token has declined for much of 2026, trading in line with the broader cryptocurrency market. As of press time, XRP was at $1.35, up about 1.2% in the past 24 hours. However, it is still down roughly 28% year-to-date.

This divergence between price action and network fundamentals is notable considering that one of the clearest indicators is the sharp rise in XRP’s burn rate, which climbed to 1,851 on March 19. 

This marks a 270% increase from the average daily burn of 500 recorded since August 2025, signaling higher transaction throughput, according to data from XRP Scan.

Transaction activity has also hit a notable milestone. Successful transactions reached 3.11 million on March 23, the first time the network has processed over 3 million in more than a year. 

However, by March 29, this figure had dropped to 1.3 million. Meanwhile, average transactions per ledger surged 129%, rising from 83 on March 7 to 190 by March 23, further highlighting accelerating usage.

Growth is also visible in the network’s decentralized finance ecosystem, where automated market maker pools on the XRP Ledger increased from 24,462 at the start of 2026 to 27,860, adding 3,398 pools in a short period.

Together, these metrics point to strengthening fundamentals even as price performance remains weak. The widening gap between usage and valuation is increasingly seen as a sign of underlying accumulation, suggesting potential for a sharp move once momentum shifts.

XRP quarterly returns 

While XRP continues to track broader market trends, historical data suggests it may be positioning for a rebound in the coming quarters. 

In this line, the asset is on track to record its weakest Q1 performance in years, down over 25% heading into the final hours of Q1 2026, marking its worst first-quarter return since 2018.

Historically, XRP’s Q1 performance has been highly volatile, with steep losses of -77.7% in 2017 and -68.2% in 2015, compared to a 22.4% gain in 2016. 

At the same time, volatility often extends into Q2, where performance remains mixed. However, trends show XRP typically stabilizes and improves in Q3, with more consistent gains during that period.

The recent decline follows an early-year rally that pushed XRP as high as $2.42 before momentum faded, with prices trending lower amid broader market uncertainty and weakening sentiment. 

Additional pressure has come from investment flows, as XRP-focused exchange-traded products (ETFs) recorded notable outflows in March, signaling reduced institutional demand.

The market outlook remains divided, with some analysts warning of a deeper correction, potentially below $1, before a base forms, while others view such a move as the final phase of the bearish cycle, paving the way for recovery.