markets··1 min read
XRP Capitulation Grows as Profit/Loss Ratio Hits Lowest Since 2024
On-chain data shows intense selling pressure as XRP's realized profit-to-loss ratio drops to levels not seen since 2024.
XRP is showing signs of increased selling pressure, with on-chain metrics from Glassnode indicating that the asset is experiencing intense capitulation. The 90-day moving average of the realized profit-to-loss ratio has plunged to its lowest level since 2024, reflecting a market where losses are far outpacing profits.
Key On-Chain Metrics
- The realized profit-to-loss ratio (90-day MA) has dropped sharply, suggesting widespread capitulation among XRP holders.
- Network activity is also declining, with fewer active addresses and reduced transaction counts.
- The data indicates that many traders are selling at a loss, reinforcing the bearish sentiment.
Capitulation events often precede trend reversals, but the current metrics suggest that XRP may face further downside if selling pressure continues. Investors should monitor on-chain data for signs of accumulation or recovery in the profit-to-loss ratio.