XRP News Today: XRP faces bearish on-chain signals amid short-term selling and speculative surges

A recent on-chain analysis has highlighted growing caution for XRP amid shifting investor behavior and speculative dynamics. Alphractal, a cryptocurrency analytics firm, identified a new on-chain signal that suggests XRP may be entering a sensitive period, characterized by increased selling pressure from short-term investors and elevated speculative activity [1].

According to the firm’s analysis, the Short-Term Investor Active Supply Ratio indicates a trend of recent holders offloading their XRP positions. This pattern, combined with rising levels of profit-taking and stop-loss actions, is contributing to heightened bearish sentiment in the near term [1]. The selling pressure is further underscored by the Unrealized Net Profit/Loss (NUPL) indicator, which has reached levels not seen since 2021 and comparable to those observed during the 2018 market peak. Historical data suggests that such levels often precede periods of price correction or asset distribution [1].

Despite these bearish signals, another metric, the Delta Growth Rate, shows a positive trend. The indicator, calculated as the 365-day moving average of the difference between market capitalization and realized market capitalization, suggests that speculative flows are currently outpacing fundamental growth. This implies that while fundamentals may be stabilizing, the market remains driven by momentum and trader sentiment [1].

Alphractal’s analysis combines these three indicators to suggest that XRP is at a potential inflection point. The convergence of selling from short-term holders, high speculative inflows, and a historically significant NUPL reading indicates that a correction or consolidation phase may be on the horizon. However, the firm explicitly states that this is not investment advice, emphasizing that market conditions can shift rapidly [1].

The findings align with broader market trends where XRP continues to attract both institutional and retail attention, though on-chain data increasingly reflects short-term volatility. Investors are being advised to closely monitor these metrics for further signals of market direction.

Source: [1] Warning for XRP – Analysis Company Says, “Signal Received in Onchain Data” (https://coinmarketcap.com/community/articles/6894ed1aa023ec4608e1d9cf/)