- On-chain data shows 80% of the XRP supply is in profit, beating Ethereum’s 61%
- This “profit gap” suggests XRP holders have stronger conviction than their ETH counterparts
- Despite huge gains, low volume indicates most XRP holders are not selling their positions
XRP’s impressive performance in 2025 has created a remarkable situation in the market. Following a massive rally that began last November, a staggering 80% of the cryptocurrency’s total circulating supply is now in a state of profit.
Yet, despite sitting on significant gains, on-chain data suggests the vast majority of these holders are holding their positions, betting on even higher prices to come.
What Do On-Chain Profit Metrics Show?
Glassnode’s data shows that XRP’s price of over $2 is more than 3x higher than its base price before the November pump.
That means early XRP investors are sitting on over 300% gains. Most of them kept their tokens, expecting more rallies. However, a trend that began in early June highlighted profit realization at $68.8 million per day, signaling a wave of distribution by early holders. Analysts think some holders are locking in profits after a massive rally.
In the meantime, on-chain data shows that XRP’s funding rate is now positive, with a value of 0.0053%. That suggests a positive sentiment among traders in the XRP futures market, with most of them betting on the crypto asset’s price to go higher.
Related: This May Be the Last Chance to Buy XRP Near $2
Typically, a positive funding rate signals a bullish sentiment, with long traders dominating short traders.
Why Is Low Trading Volume Seen as Bullish?
It is crucial to note that the daily active addresses and volume on XRP have dropped, staying below $1 billion. That could support the impression that most investors are opting to hold their tokens rather than sell them. It could suggest the belief in higher price expectations, and sometimes, calm periods precede massive moves in the cryptocurrency market.
Related: XRP Price Prediction: Will July Trigger a Record-Breaking Rally?
XRP outperformed Ethereum in 2025, with the latter boasting only 61% of its total supply to be in profit. Investors seeking to allocate capital could consider this profit gap a crucial signal. It could boost XRP’s demand, especially with the crypto community’s expectations of a higher price target for the digital asset.
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