Data from Glassnode reveals that a staggering 36.8 billion XRP is currently underwater, equating to nearly 60% of the circulating supply. This represents about $50.8 billion in unrealized losses.

The data underscores the intense downturn faced by the cryptocurrency as XRP trades around $1.34, marking a decline of over 63% from the all-time high of $3.65 achieved in July 2025.

Significant Unrealized Losses Found in XRP Supply

The unrealized profit and loss metric evaluates the gap between the market price and the purchase price of tokens, offering insights into investor sentiment throughout various market phases. Despite a recent small uptick, XRP has faced declines across multiple timelines—down 0.5% over the past week, 7.1% monthly, and exceeding 42% annually. This trend leaves many holders grappling with substantial losses, potentially leading to increased selling pressure if prices begin to recover.

Derivatives Activity Surges

In the midst of heavy losses, trading activity in derivatives markets has surged. BitMEX reported a staggering increase of over 7,000% in XRP futures volume, reaching approximately $49 million, indicating traders are leveraging their positions while anticipating clearer price signals. Binance also recorded about $733 million in XRP futures volume within a 24-hour span, amidst indications of decreasing spot trading activity.

Market Outlook Remains Mixed

Market sentiment exhibits divided opinions on the next significant movement for XRP. Analyst EGRAG Crypto notes that price cycles often incorporate both declines and stabilization periods prior to any forthcoming expansion phase. Conversely, other analysts express concern, suggesting XRP may dip below the $1 mark, with a possible support level emerging near $0.90 if the current downtrend is sustained.