XRP is closing in on a major network milestone, even as its price continues to drift lower.
At press time on Feb. 24, XRP, along with its peers were bleeding. It was down 5.4% in the past 24 hours, trading at $1.33.
But lawmakers in Arizona are still moving forward with an important piece of legislation that would make XRP a part of its digital coffers.
Related: Arizona rejects Bitcoin reserve plan, caps ATM use at $2K per day
Network data shows that daily successful transactions on the XRP Ledger have increased roughly 40% in recent weeks, and it reached 2.5 million per day on Feb. 19 and 20.
On the ledger, users process cross-border payments, execute token transfers, and support decentralized finance (DeFi) applications. For long-term investors, sustained growth in transaction count often signals expanding utility, which is a key fundamental metric beyond price speculation.
However, this is not the first time daily transactions have crossed $2.5 million. The last time in the recent past was on Feb. 5 and 6, right before the market crashed. Daily transactions had hit $2.7 million.
Its all-time high since its debut has been on Dec. 30, 2023, when daily transactions reached $6.8 million.
But not everyone is convinced the headline number tells the full story.
Some traders have pointed to blockchain data suggesting that a notable share of transactions may be originating from a small number of wallets.
One widely circulated screenshot highlighted repeated, small XRP transfers executed in rapid succession from the same address. The pattern may reflect automated activity rather than broad retail participation.
Moreover, transaction count alone does not automatically mean user adoption is increasing. If a big chunk of daily transactions is concentrated among a few wallets, interpreting the surge needs to be more nuanced.