XRP holders are increasingly selling at a loss in a textbook sign of market capitulation.
The 90-day moving average of XRP’s realized profit-to-loss ratio has fallen to 0.38, according to data tracked by Glassnode.
This means that for every $1 in losses investors realize right now, they only get 38 cents in profit. Essentially, most of the coins traded on the blockchain are underwater.
The situation marks a reversal from the peak in 2025, when the ratio hit 50. At that time, profit takers outnumbered loss sellers by a staggering 50-to-1.
A ratio this far below 1 is commonly considered a hallmark of capitulation, a market phase where exhausted holders finally throw in the towel and sell, often after suffering the prolonged agony of holding coins at a loss. It reflects intense fear or forced selling in the market.
Although capitulation does not always mark the exact bottom, it often appears near exhaustion points in downtrends. For XRP traders, this could mean that the bear market is in its final phase.
The payments-focused cryptocurrency was trading at around $1.11 at press time, down nearly 40% for the year, according to CoinDesk data. Prices peaked above $3.60 last July.
