XRP price is showing signs of a potential breakout, with bullish charts hinting at possible gains above $2.20. However, this optimism faces challenges from declining on-chain activity, raising questions about the rally’s sustainability. Analysis suggests that the short-term XRP price rise may be temporary if user engagement remains low. While the inverse head and shoulders pattern is visually appealing, its effectiveness hinges on sustained buying activity and network activity. 73.58% surge in open interest signifies strong speculative traders anticipating a breakout, but they face uncertainty as network engagement remains stagnant. 2023 has seen a noticeable decline in XRP’s active users, dropping from 20,700 to 8,500. The question now rests on whether this price momentum will translate into sustained activity or fade away.