XRP's Daily Active Addresses Surge 490% as Retail Investors Favor Over Bitcoin
1min read Retail investors are increasingly favoring XRP over Bitcoin, as indicated by recent on-chain data from Glassnode. The data shows a significant 490% increase in XRP’s quarterly average of daily active addresses since the 2022 cycle low, while Bitcoin experienced only a modest 10% rise during the same period. This disparity suggests that speculative retail demand is driving XRP’s resurgence, whereas Bitcoin’s rally is more institutional-led.
Glassnode’s latest newsletter underscores the divergent paths of these two major cryptocurrencies. Despite both assets achieving similar price gains—roughly 5x to 6x from their 2022 cycle lows—their trajectories reveal distinct investor behaviors. The quarterly average of daily active addresses for XRP has surged by 490%, compared to just 10% for Bitcoin. This stark contrast indicates that retail enthusiasm has been drawn to XRP, reflecting speculative appetite in the crypto space.
Bitcoin’s growth has been more steady, with significant upward movements triggered by events such as the launch of spot ETFs. In contrast, XRP’s rally has been characterized by a sudden breakout from December 2024, driven by retail speculation. During this recent surge, XRP’s realized cap nearly doubled from $30.1 billion to $64.2 billion, indicating a substantial inflow of capital. However, this surge also raises cautionary signals, as it appears to be driven more by recent investments than by long-term, sustained demand. Glassnode observed a rapid concentration of wealth among new investors, with those entering the market in the past six months accounting for nearly half—around $30 billion—of this surge.
The share of XRP’s realized cap held by addresses younger than six months rose from 23% to 62.8% in a short period. google Trends data revealed that interest in XRP is predominantly concentrated in Europe and the United States, with significantly less search activity in Asia and Africa. This geographic disparity suggests that XRP’s retail-driven surge may be tied to specific market dynamics in Western regions, potentially influenced by regulatory clarity or community-driven hype.
While XRP’s retail appeal is evident, the sustainability of its rally remains uncertain. Glassnode’s report indicates that the capital inflow has slowed since late February 2025, hinting at a cooling of retail speculation. The Realized Loss/Profit Ratio has been steadily decreasing since January 2025, suggesting that investors are seeing fewer profits and facing larger losses. Given the retail-dominated inflows and largely concentrated wealth in relatively new hands, this alludes to a condition where retail investor confidence in XRP may be slipping, and this may also be extended across the broader market. Therefore, Glassnode cautioned that the XRP demand may have already peaked and recommended exercising caution until more definitive signs of recovery appear.
Ask Aime: Why is XRP outperforming Bitcoin in terms of on-chain activity?
