The XRP market experienced unusual network activity as December began. Despite the asset's price remaining stable around $2.1, a significant shift in its on-chain data, as revealed by CryptoQuant and highlighted by Coin Bureau, has captured the attention of XRP holders.
Coin Bureau, a prominent cryptocurrency education platform, shared a chart illustrating the rapid development of this network trend.
Velocity Surges to a New High
The chart shared by Coin Bureau depicted a dramatic increase in XRP's velocity, reaching a new peak for 2025 and significantly surpassing levels seen in previous months. Velocity, a metric that measures the frequency of token transfers on the network, indicates substantial movement when it rises.
This surge in velocity is often interpreted by traders as an influx of fresh liquidity into the market. This heightened activity occurred during a period when XRP's price volatility had cooled. The data showed a distinct clustering of high-velocity transactions in late November and early December, a pattern that stood out more prominently than in earlier parts of the year. Activity levels jumped from approximately 0.005 to peaks exceeding 0.03.
The increase in velocity while XRP was trading near $2 suggests continued engagement from whales and other active traders. It also indicates that market participants were moving XRP on a scale not observed since September.
XRP ACTIVITY JUST WENT VERTICAL!
Per CryptoQuant, the massive surge in $XRP velocity signals rising liquidity and heavy trader or whale movement. pic.twitter.com/Cc9ekL4HEh
— Coin Bureau (@coinbureau) December 4, 2025
What This Means for XRP Holders
XRP holders are now observing whether this surge in network activity will translate into significant price movements. High velocity often precedes major shifts in market behavior. While it does not confirm a specific price direction, it strongly indicates increased engagement from investors and reduces the likelihood of market stagnation, providing XRP with more potential to establish a notable trend.
This development follows recent bullish predictions for XRP from multiple analysts. The recent chart data displays a more significant cluster of high activity compared to earlier periods in 2025, where prior spikes did not always result in substantial price swings.
XRP experienced sideways price action between October and November. The subsequent registration of one of its strongest on-chain activity bursts while the market remained at a low level is often viewed by holders as a constructive setup. This suggests that traders are actively repositioning rather than disengaging from the market.
What Comes Next for XRP
The recent increase in XRP's network activity could also signify heightened interaction from institutional investors and large whales. Velocity spikes of this magnitude are typically driven by substantial transfers rather than numerous small retail transactions, indicating commitment from active participants in the market.
The future trajectory for XRP will depend on whether the market can build upon this increased activity. If velocity remains elevated, it could lead to a continued flow of liquidity into the asset. Higher liquidity generally results in more rapid price reactions and potentially sharper market movements.