[Digital Today reporter Jinju Hong] As transaction demand on the XRP network has contracted sharply since last year's peak, market attention is shifting from a short-term rebound to whether key support levels can be defended. On-chain indicators show worsening investor sentiment and increased profit-taking on losses. Some analysts are watching the possibility that XRP tests the $1 to $0.65 range.

On June 11 (local time), Cointelegraph reported that XRP's 90-day average network fees fell to about 500 XRP from 5,900 XRP in February. That is a drop of about 91.5 percent.

Network fees are generally used as a key on-chain indicator of blockchain usage and transaction demand. The decline shows that market participation and trading activity have contracted sharply compared with the period in the first half of this year when XRP's price was above $3.

On-chain analytics firm Glassnode said investor profitability is also deteriorating rapidly alongside the decline in network activity. XRP's 90-day realized profit-loss ratio fell to 0.38 from 50. That means investors are realizing an average of only $0.38 in profit while locking in $1 in losses.

Earlier this year, when XRP rose to around $3.40, profit-taking trades led the market. Now, stop-loss selling at prices below acquisition costs appears to be increasing. The market sees this as a pattern often observed in bear markets or capitulation phases.

Large holders, however, are sending a somewhat different signal. Crypto analyst Phelyn Eye said transactions moving 1 million XRP or more to Binance have declined since the 2025 peak. Before past sharp corrections, inflows of both 100,000 to 1 million XRP and 1 million XRP or more surged together, but the recent trend has moved in the opposite direction, Phelyn Eye said.

Since last October, inflows to Binance of 100,000 to 1 million XRP have fallen 15 percent, while inflows of 1 million XRP or more have dropped 20 percent, data showed. Phelyn Eye said the current price decline looks closer to leverage liquidations and growing risk aversion than concentrated selling by large holders.

Technical analysis is increasingly pointing to the $1 to $0.65 range as a key support zone. On weekly charts, XRP is falling toward a $0.63 to $1 price gap formed during a sharp rally late last year. With the $1.40 level, previously seen as major support, already broken, the market has shifted its focus to the next support area.

Volume profile indicators also point to similar levels. Trading has formed relatively lightly below the current price, but between $0.50 and $0.65 there are signs of past heavy trading concentration. The area with the highest trading volume was analyzed at around $0.52 to $0.55. XRP's 5-year long-term uptrend line is also expected to meet around $0.60 to $0.65 within the next few months.

Some traders therefore see this range as an accumulation zone. Crypto Patel presented $1 to $0.60 as a preferred buying range, and Capital Marks kept a long-term breakout target of $15 to $18.

The market's immediate focus, however, is whether short-term support holds rather than long-term targets. With on-chain demand slowing and loss-taking increasing, the next point to watch is whether XRP can recover buying interest in the $1 to $0.65 range.