As the XRP price attempts to rebound from its recent lows, Glassnode has shared key on-chain metrics pointing to weakening momentum and \u201cintense capitulation.\u201d<\/p>\n
On Tuesday, market intelligence platform Glassnode revealed<\/a> that XRP is flashing warning signals, with key on-chain indicators pointing to widespread capitulation and decreasing network activity.<\/p>\n In an X post, Glassnode researchers highlighted that the 90-day moving average (MA) of the altcoin\u2019s Realized Profit-to-Loss Ratio has fallen to an area historically associated with deeper downtrends and periods of market capitulation.<\/p>\n Notably, the key metric has dropped<\/a> to 0.38, its lowest level since 2024, meaning that for every dollar of losses realized in the market, only 38 cents in profit are being taken. This marks a significant reversal from the 2025 peak, when the ratio surged to 50, indicating profit-takers outpaced loss-sellers by a factor of 50.<\/p>\n That dynamic has now fully inverted, Glassnode affirmed, adding that a ratio this low suggests that most participants moving XRP are exiting their positions at a loss, which is \u201ca hallmark of intense capitulation.\u201d<\/p>\n In addition, the blockchain analytics firm pointed out that network<\/a> activity has declined significantly. According to the data, the 90-day average of total transaction fees paid on the XRP network has fallen from 5,900 XRP in February 2025 to just 500 XRP, representing a 91.5% drop.<\/p>\n \u201cA drop of this magnitude is not a fee market adjustment. It reflects a near-total contraction in organic transaction demand on the network since the speculative peak,\u201d Glassnode affirmed.<\/p>\n The drop in these indicators suggests investor confidence has weakened, and the market has shifted to reduced speculative appetite with subdued participation.<\/p>\n Over the past two weeks, XRP\u2019s price has retraced<\/a> nearly 15%, falling to its lowest levels since November 2024. Amid this performance, analyst ChartNerd noted that the cryptocurrency\u2019s bear markets have historically lasted 400-790 days with 85-96% drops.<\/p>\n Currently, the altcoin has only corrected<\/a> for approximately 350 days, with a 71% retracement from the July highs. However, \u201cthe duration and % depth of these bears are diminishing over time; therefore, the territory for marking a historical bottom between now and EOY is fast approaching,\u201d he stated.<\/p>\n He also observed that the altcoin closed below its 200-week Simple Moving Average (SMA) last week, which could also signal that the bottom may be on the horizon. As he explained<\/a>, during prior cycles, a structural bottom formed between 8 and 29 weeks after the first weekly close below this SMA, suggesting that XRP could begin forming its bottom in the coming months, if history repeats.<\/p>\nIs XRP\u2019s Bottom Near?<\/h2>\n