XRP holders in heavy losses as 50%+ of supply turns underwater
On-chain data referenced by Finbold (Santiment, Apr 6) shows XRP in deteriorating trader sentiment. More than half of XRP’s circulating supply is currently underwater, with the lowest MVRV ratio seen since the FTX collapse. Profitability has also weakened: only 43.4% of XRP’s total supply remains in profit.
Daily realized losses have spiked and at times reached about $110 million, while persistent selling pressure has limited any meaningful recovery even as the broader crypto market stabilized.
Price action remains cautious. As of press time, XRP traded around $1.31 (-2.5% in 24 hours). The asset has been range-bound since late February, testing support near $1.28. A breakdown below $1.28 could open deeper declines toward $1.20 and $1.15. Conversely, a sustained move above $1.36 would improve the short-term outlook, with targets around $1.45 and possibly $1.60.
Despite the bearish tape, XRP network activity is rising: active addresses increased from about 7.9 million to ~8.1 million from the start of 2026 to Apr 6. However, the article notes there’s still no XRP-specific catalyst, so price largely tracks broader market moves.
What to watch next for XRP: whether losses continue to compound (bearish continuation) or whether compressed MVRV and late-cycle stress lead to accumulation and a rebound.
Bearish
The article’s core signal is stress in XRP holders. With 50%+ of circulating supply underwater and only 43.4% in profit, the distribution suggests ongoing capitulation risk. Spiking daily realized losses (up to ~$110M) and a depressed MVRV ratio (lowest since the FTX collapse) typically align with continued downside pressure rather than immediate trend reversal.
Traders should therefore expect bearish behavior in the short term: sellers may keep reacting to rallies until the supply that is “in loss” starts to stabilize. The cited technical levels reinforce this: $1.28 is the key line in the sand; losing it increases the probability of a liquidity-driven slide toward $1.20/$1.15.
However, the piece also notes a historical nuance: extremely compressed MVRV can mark late-stage bearish cycles, sometimes preceding rebounds. That means the long-term path could become less bearish if realized losses slow and accumulation returns—especially given rising active addresses. Net impact: near-term bearish, with a potential for a later rebound if on-chain selling pressure clearly fades.