XRP Daily Realized Losses Hit $75M, Sell-Off Intensifies
XRP daily realized losses have surged to a 30-day EMA of $75 million, marking the highest level since April. This metric, tracked by Glassnode, measures the actual losses crypto traders lock in when they sell XRP below their purchase price.
The spike in XRP daily realized losses coincides with XRP’s price decline to around $2, reflecting intense selling pressure and eroding market sentiment. Widespread capitulation suggests traders are bailing amid fears of further declines.
Historically, peaks in realized losses have often signaled market bottoms and precede recoveries. To assess potential reversals, traders should monitor trading volume, large-wallet movements, and exchange flows. Reduced volume during drops may indicate selling exhaustion and a shift toward market recovery.
Despite the current bearish outlook, risk-tolerant investors may find attractive entry points if they believe in XRP’s long-term fundamentals. Crypto traders are advised to apply strict risk management and avoid emotional decisions as market cycles evolve.
Bearish
The sharp rise in XRP daily realized losses to $75M indicates significant capitulation among XRP holders. Such spikes reflect intense selling pressure and negative market sentiment, usually translating to bearish price action in the short term. Similar patterns were observed in previous crypto drawdowns—such as Bitcoin’s realized losses peaking during the 2022 bear market—where strong capitulation preceded market bottoms but took time to materialize. For traders, this suggests continued downside risk until selling exhaustion is confirmed by declining volume and stabilized on-chain flows. However, once realized losses peak, the market often hits a turning point, opening opportunities for rebound trades. In the long term, persistent high realized losses can attract value-oriented investors seeking discounted entry levels. Therefore, while the immediate impact is bearish, vigilant monitoring of volume metrics, large-wallet activity, and support levels may help traders anticipate a shift toward recovery and plan strategic positions accordingly.