XRP Profit Share Crashes: Why 41% of Holders Are Deep in the Red

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This article was first published on The Bit Journal: The XRP profit share is falling rapidly, with at least half of its supply sitting in the red. Is the crypto market meltdown an indication of pending risk for buyers?

The ongoing crypto market meltdown, which has led to a decline in XRP’s market share, has kept Ripple’s token largely bearish amid a prolonged market sell-off. With the market now facing macroeconomic uncertainty, profit-taking remains uncertain for the cross-border token, with analysts fearing a significant price correction could be looming.

According to data from Glassnode, only about 58.5% of the total XRP in circulation was trading profitably, a position that is the weakest since November 2024, when the token traded around $0.53. With the cross-border token currently trading at $2.14, the XRP profit share for the remaining 41.5%, valued at nearly 26.5 billion, was sitting pretty at a realized loss.

Losses despite XRP ETF Launches

Data from the blockchain intelligence platform shows that, despite the token being in a top-heavy market, the XRP profit share remains low, with the market remaining structurally fragile, perhaps due to the ongoing crypto market meltdown. To most analysts’ surprise, the XRP profit share has remained significantly low despite a series of highly anticipated spot XRP ETF launches throughout November.

The launch of XRP ETFs that offer US investors exposure to XRP Ledger’s native cryptocurrency hasn’t had the anticipated impact on the XRP profit share. Among the most prominent launches were Franklin Templeton’s EZRP, which debuted on November 18, as well as other similar products from Bitwise, 21Shares, and CoinShares, whose rollouts pundits expect to occur between November 19 and 22 on the Nasdaq Global Market.

crypto market meltdown — XRP decline could extend below $2.00 amid low retail demand

Loss of Public Interest Lately

According to crypto analytics firm Alphractal, data from Google Trends shows a decline in public interest across the entire crypto market, perhaps due to the ongoing crypto market meltdown. As a result, interest in Bitcoin, XRP, and other digital assets has declined because investors may have lost motivation. The same is evident in Google searches for altcoins and cryptocurrency exchanges, as market trends have dropped sharply.

Alphractal, however, stated that, with the crypto market, interest is bound to return as soon as volatility picks up and prices start moving higher. However, until that happens, the XRP profit share could remain subdued even though such a time offers the best opportunities for long-term investors.

Conclusion

According to experts, a part of the ongoing crypto market meltdown could have resulted from wild swings in expectations for a FED rate cut that’s expected sometime in December. As a result, the XRP profit share still holds immense potential due to the token’s robust technical support and its ability to enable international payments. Until that happens, there’s every chance the market could experience a price correction before it recovers again.

Glossary of Key Terms

Price Correction: A temporary decline in the price of a cryptocurrency, typically a drop of 10% or more from its recent high, which happens after a significant and rapid price increase.

XRP ETF: An investment product that lets people gain exposure to XRP through a stock exchange, rather than by buying the cryptocurrency directly.

Volatility: The degree of variation and rapid price fluctuations of a digital asset over a specific period.

Frequently Asked Questions about XRP price prediction

How far up do experts predict XRP will go to?

The price of XRP is likely to surge by at least 5% annually. If this prediction holds true, the price will be as follows:

2026 – $2.38

2030 – $2.90

2035 – $3.70

2040 – $4.72

Will Ripple XRP reach $10?

A tripling of XRP’s value sounds easy enough, but the prospects of actually moving from $3 to $10 will require a hard-nosed capital markets reality check.

Is XRP worth buying?

If everything happens according to expert predictions, XRP looks like a cryptocurrency with a bright future within the next five to ten years. Consider the fact that users who made millions from investing in XRP are those that entered the market early when the token trader for under $0.05.

What’s makes XRP a Special cryptocurrency?

Users can send XRP directly to each other without the need of a third-party. This makes the token a convenient tool for users who want to bridge any two currencies fast and efficiently.