Since August 2025, XRP holders have increasingly spent their coins, contributing to the selling pressure that has turned the asset’s on-chain profitability negative.
The past six months have been especially depressing for XRP, the native cryptocurrency of the Ripple Network. Now it appears the asset is sending a capitulation signal as holders suffer big losses due to panic selling.
Data from Glassnode shows that profitability in the digital asset chain has turned negative, with the Spent Output Profit Ratio (SOPR) falling from 1.16 on July 25, 2025 to 0.96 currently. Analysts say the current setup mirrors the period from September 2021 to May 2022, when the SOPR for XRP fell below <1. The decline was followed by a long-term consolidation, which led to stabilization.
XRP holders realize huge losses
Since August 2025, the price of XRP has fallen steadily, only recovering briefly before resuming its decline. By the end of October, the price had fallen 27% from $3.5 in mid-July to $2.4. As the asset lost its value, long-term holders who accumulated before November 2024 increased their spending by 580% from $38 million per day to $260 million per day.
The numbers remained stable until early November, indicating a division into weakness rather than strength. Analysts noted that the spending spree was different from previous profit realization waves that coincided with rallies. There was a clear signal that experienced traders were exiting their positions, putting pressure on the price of XRP.
By mid-November, XRP’s share of profits had plummeted to 58.5%, the lowest since November 2024, when the asset was worth $0.53. Although XRP was trading around $2.15 at the time, four times higher than its November 2024 price, more than 41% of the coin’s supply suffered losses. It was an indication that the market was top heavy, structurally fragile and dominated by late buyers.
Capitulation signal or structural failure?
As the bears wanted, XRP’s price fell below $2 in mid-November, and the estimated 30-day market average (30D-EMA) of daily realized losses rose to $75 million. Since the beginning of the year, investors have realized between $500 million and $1.2 billion in losses per week every time XRP retested $2. $2 is now an important psychological zone for XRP holders.
At the time of writing, XRP was trading at $1.40, having lost its entire holder cost basis, which explains the panic selling. Such moves have raised questions about whether the XRP market is capitulating or experiencing a structural failure. Experts insist the former is the case because fundamentals are stronger now, unlike 2022 when there was no clear regulation.
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