XRP burn rate soars: Is a Bull Run imminent?

XRP's burn rate is surging! Could this be a sign of a bullish trend? Explore the price analysis and on-chain indicators to understand what's happening.

Written by Simon Dumoulin

Translated on January 26, 2026 at 09:37 by Simon Dumoulin

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XRP Burn Rate Surges: Is the Hype Back?

It’s a metric often overlooked by beginner traders, but closely monitored by experts: the burn rate of XRP has just recorded a notable increase over the past 24 hours. According to on-chain data, this acceleration in network activity contrasts sharply with the calm of previous days. Concretely, the more the XRP Ledger network is used, the more tokens are destroyed through transaction fees, creating natural deflationary pressure.

This sudden awakening of activity suggests a potential change in market structure. While Ripple’s token seemed stuck in a short-term bearish trend, this spike in usage indicates that whales and institutions may be repositioning themselves. In crypto technical analysis, an increase in network activity often precedes a volatile price movement. If this dynamic is confirmed, we could witness the end of the retracement that has been weighing on the price for several sessions.

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Price Analysis: Will the $1.90 Threshold Hold?

Currently, XRP is trading in a critical zone, oscillating around $1.89 – $1.91. The market is in a full consolidation phase, squeezed between solid support around $1.80 and a major psychological resistance at $2.00. Breakout attempts above $2 have been rejected multiple times in recent days, creating an atmosphere of indecision.

However, the correlation between the burn spike and price could provide the necessary momentum for bulls to regain control. If buying volume follows on-chain activity, a clear break of the immediate resistance could propel XRP towards new local highs. Conversely, if this signal proves to be a false start (fakeout), a drop towards the liquidity zone of $1.80 remains a plausible scenario to monitor.

The current setup is explosive. On one hand, fundamental indicators like the burn rate are flashing green, signaling a return of interest in the network. On the other, the price remains under pressure, awaiting a macro or technical catalyst to validate a direction. Traders will need to monitor the daily close: a hold above $1.90 combined with a continued increase in burn rate could validate the start of a new rally.

I think we get an $XRP pump today. pic.twitter.com/SR0uQqG9yG
— Bird (@Bird_XRPL) January 25, 2026

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Simon Dumoulin

Passionate about cryptocurrencies since 2019, I cover the latest news through clear and accessible articles. My goal is to make crypto understandable for everyone, with reliable and well-researched content.

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