XRP Ledger Loses 90% of Volume, But This Drop Is Not Critical

XRP Ledger has recorded a sharp contraction in payment volume after another temporary burst of unusually high activity. Daily payment volume on August 7 before collapsing toward comparatively negligible levels by August 9. From the local peak, the decline approaches 90% and could initially look like a major deterioration in network usage.XRP's payment volumes are finally backOver the past month, XRP Ledger's payment volume has been incredibly erratic, with frequent short-lived spikes followed by returns to baseline activity. In August, there was yet another surge. . There was no consistent rise in payment activity as a result of either move.BITSTAMP:XRPUSDT Chart by TradingView">This is significant because, rather than the disappearance of established transaction demand, the most recent 90% decline primarily reflects normalization from an abnormal peak. Before the move could plausibly point to a structural decline in network usage, XRP Ledger would need to stay at low levels for a significant amount of time.The price of XRP is still under pressure. The price chart paints a worse picture. XRP is trading at about $1.036 and is below every significant moving average displayed on the daily chart. The larger moving averages remain significantly higher at roughly $1.185 and $1.377, while short-term resistance is located between $1.075 and $1.087. Sellers continue to benefit from that arrangement.XRP keeps moving to lower highsAdditionally, XRP has been reaching lower highs; however, its most recent attempt to stabilize between $1.05 and $1.10 failed to generate sufficient momentum for a breakout. While weak momentum is confirmed by the RSI at about 40, a heavily oversold market is not indicated.As a result, sellers can still drive XRP lower without immediately encountering a technical dead end. The primary threshold is currently $1.00. By holding it, XRP may be able to keep consolidating and eventually attempt another comeback toward $1.08–$1.10.The recent lows between $0.95 and $0.97 would be exposed if that level were lost. However, the 90% decline in payment volume should not yet be viewed as a serious warning for XRP Ledger itself. The most recent decline is consistent with the network's current activity pattern, since recent data indicates that these massive spikes have been episodic.