Early Investors Secure 300% Gains Amid Bullish Momentum
XRP is now trading above $2, delivering over 300% returns for long-term holders who entered below $0.60. But while the macro outlook remains strong, recent on-chain data reveals a sharp uptick in profit-taking, with many early buyers exiting positions as XRP approaches its key resistance near $2.20.
On-Chain Metrics Confirm Distribution Pressure
According to blockchain data, the 7-day simple moving average of realized profits from XRP wallets hit $68.8 million this month — the highest level in over a year. This points to growing distribution pressure as the price nears resistance zones established during the last cycle.
This profit-taking wave has coincided with XRP’s inability to push through the $2.20 level, despite supportive headlines including:
- Regulatory clarity in the U.S.
- Ripple’s aggressive expansion into tokenized assets and cross-border infrastructure
These factors have provided a bullish backdrop, yet supply from early accumulators continues to weigh on upward momentum.
Macro Indicators Signal Cooling Altcoin Flows
A broader trend also adds context: CryptoQuant’s latest data shows a $36 billion net outflow from altcoins (excluding BTC and ETH) in the past few months. That’s a dramatic reversal from late 2024, when net flows briefly turned positive, sparking an altcoin rally.
Since then, altcoins have experienced a steady decline in investor interest, with many sidelined due to:
- Risk-off macro environment
- Rising Treasury yields and global monetary tightening
- Continued pressure on speculative capital in DeFi and gaming sectors
What It Means for XRP
Despite strong fundamentals, XRP faces short-term headwinds:
- Profit-taking near $2.20
- Lack of new capital entering the altcoin space
- High-volume selling from long-term holders
However, the token’s sustained position above $2 and favorable developments on the regulatory front indicate that structural support remains intact. If XRP can consolidate and absorb this sell pressure, another breakout attempt could materialize.
Conclusion
XRP’s recent rally highlights its strong position among large-cap tokens, but resistance from early profit-takers is slowing momentum. Until risk appetite returns across the broader altcoin space, further upside may remain capped. Still, long-term strength and utility continue to anchor XRP’s outlook for 2025.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.