XRP Investors Holdings Have Hit Worst Losses In 1 Year, Here Are The Stats

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XRP Investors Holdings Have Hit Worst Losses In 1 Year, Here Are The Stats - BitCoinist | Crypto Feed Crypto News

XRP investors are facing their most challenging moment of the year as new on-chain data reveals a sharp decline in profitable supply. The current market appears incredibly fragile, despite the token trading significantly higher than its price from the previous year. The latest statistics indicate growing pressure among investors and a weakening market structure, which have contributed to the significant profit loss this year. XRP Investors See Worst Profit Loss Since 2024 Fresh on-chain data from Glassnode, shared on X social media, shows that the portion of the XRP supply in profit has decreased to 58.5%. This is the lowest level ever recorded since November 2024, when the cryptocurrency was trading near $0.53. What’s alarming about this low stat is that the decline in investors’ profit is happening despite the altcoin currently trading more than 4X its price in 2024. At the time of writing, the cryptocurrency is trading at $2.15, but despite this higher price advantage, 41.25% of the circulating supply, roughly 26.5 billion XRP, remains underwater. Glassnode has revealed that this substantial decline indicates that the market is heavily saturated by late buyers who accumulated tokens near cycle highs and are now anchoring the supply with unrealized losses. Notably, this setup has resulted in a heavy and unstable market structure. Many holders are either unable or unwilling to sell without locking in losses, which leaves them trapped and limits liquidity. This imbalance creates a fragile environment in which even moderate selling could intensify downward pressure during periods of stress. The chart accompanying Glassnode’s report illustrates how quickly the share of profitable supply declines and how investors’ sentiment flipped once XRP failed to maintain its earlier momentum and strength. Supply Shock Narrative Intensifies As Exchange Balances Shrink A separate analysis by crypto analyst @RemiReliefX focuses on the rapid drawdown of the token available on exchanges. According to his report, exchange wallets held around 5 billion XRP last week. However, that number has since fallen to about 2.8 billion after the release of a single XRP ETF. The abrupt decline in exchange balances has prompted speculation about how quickly liquidity could dry up if FOMO from both institutional and retail participants begins. The analyst emphasized that he had previously warned of a supply shock, citing Ripple CEO Brad Garlinghouse, who also hinted that low supply could escalate price pressure. @RemiReliefX has made a bold prediction, forecasting that XRP could reach $1,000 by the end of the year. Such a move would amount to a 46,600% increase from its current price of about $2.15 in less than two months. The analyst also went further, projecting that the market could see the altcoin explode to $1,700 during this bull cycle.

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