XRP News Today: XRP Surges 500% in 9 Months as 94% of Supply Hits Profit Territory

XRP’s price has surged over 500% in the past nine months, pushing 93.92% of its circulating supply into profit territory as of Sunday, according to Glassnode data. This widespread profitability reflects a dramatic climb from under $0.40 to a recent peak of $3.11, offering significant gains to most holders. However, on-chain indicators and historical patterns suggest that such high levels of profitability may signal caution for investors [1].

The current situation mirrors similar market conditions seen in early 2018 and April 2021, when XRP’s profitability exceeded 90% before major price corrections of 95% and 85%, respectively. These historical parallels raise concerns about the sustainability of the current rally and the possibility of increased selling pressure as investors look to lock in gains [4].

The Net Unrealized Profit/Loss (NUPL) indicator further reinforces the cautionary outlook. It has entered the “belief–denial” zone, a pattern observed before or during market tops in 2017 and 2021. While the indicator has not yet reached the “euphoria” stage, analysts warn that further upward movement could accelerate profit-taking and increase volatility [5].

Technically, XRP is consolidating within a descending triangle pattern, defined by lower highs pressing against horizontal support near $3.05. Earlier this month, the price briefly broke below this level before rebounding, but repeated tests heighten the risk of a decisive breakdown. A move beneath $3.05 could trigger a sell-off toward $2.39 by September, representing a potential 23.5% decline. Conversely, a breakout above the resistance line could invalidate the bearish setup and open the door for a move toward $6, provided institutional demand and broader market sentiment remain positive [1].

Despite these risks, XRP has shown strong short-term resilience, with a 6.2% gain in August. Institutional participation and renewed momentum across altcoins could provide the liquidity needed to sustain higher levels. Market tops, however, are often dependent on broader sector dynamics, and without sustained buying momentum, XRP could face a meaningful correction in the coming weeks [3].

Investor behavior also highlights the current market dynamics. With such a large portion of the supply in profit, the risk of profit-taking is elevated, which could exacerbate near-term volatility. Analysts have noted that this level of profitability typically marks local or macro tops, urging investors to remain cautious as the market navigates potential inflection points [4].

XRP’s rally is being closely watched in the context of broader market conditions. Bitcoin, for instance, is entering its seventh week of price discovery and faces potential correction risks as it struggles to break above $120,000. These developments underscore the interconnected nature of the crypto market, where movements in one asset can influence the sentiment and trajectory of others [3].

As the market continues to evolve, XRP remains a focal point for the altcoin space, balancing investor optimism with the risk of a correction. The coming weeks will be crucial in determining whether the recent rally marks a sustainable trend or a temporary peak.

Source:

[1] Daily Crypto Signals: Bitcoin Faces Correction Risk as XRP ... https://www.fxleaders.com/news/2025/08/18/daily-crypto-signals-bitcoin-faces-correction-risk-as-xrp-reaches-94-profitability/

[2] XRP Investors in Profit: Is the Rally Nearing a Top? https://startupnews.fyi/2025/08/18/xrp-investors-in-profit-is-the-rally-nearing-a-top/

[3] XRP Rally Brings 94% Holder in Profit, Chart Warns of 20% ... https://www.cryptotimes.io/2025/08/18/xrp-rally-brings-94-holder-in-profit-chart-warns-of-20-fall/

[4] 94% of XRP holders are in profit: Has the price topped? https://www.bitget.com/news/detail/12560604916632

[5] XRP at Risk of 20% Drop as 94% of Holders Are in Profit https://coincentral.com/xrp-price-may-drop-20-amid-profit-taking-after-surge-above-3-top-analysts/

[6] Analysts Favor Remittix Over Ethereum, Solana And XRP https://www.mitrade.com/insights/news/live-news/article-3-1045596-20250817