Key Takeaways
XRP plunged as much as 13.5% this week, underperforming Bitcoin and Ethereum.
Ripple co‑founder Chris Larsen moved $175M worth of XRP, with $140M landing on exchanges.
Over 93% of XRP supply is in profit, sparking heavy profit-taking pressure.
XRP has been one of the weakest major cryptocurrencies this week, sliding 13.5% from recent highs as whale activity and profit-taking trigger heavy selling. The token is trading near $3.07, raising concerns that it could break below the psychologically important $3 level if selling pressure persists.
Ripple Co-Founder Transfer Sparks Market Anxiety
On July 17, Chris Larsen, Ripple’s co‑founder, reportedly moved $175 million worth of XRP to four separate wallets — with $140 million eventually hitting exchanges, according to blockchain sleuth ZachXBT.
The timing was crucial: XRP had just peaked above $3.60, and the massive transfer signaled to traders that a major holder might be offloading tokens. That perception weakened confidence and triggered a wave of selling across the market.
Over 93% of XRP Supply Is in Profit — Fuel for Selling
Another factor amplifying the downturn is XRP’s profitability surge. Data from Glassnode shows that 93.24% of all XRP in circulation is now held at a profit, after prices spiked to $3.60.
Historically, when over 90% of a coin’s supply flips into profit, holders tend to lock in gains, especially if they believe the price has peaked.
By comparison, Ethereum’s percentage supply in profit sits at 84.7%, still below the “overheated” zone.
XRP Drifting Back to Realized Price Levels
Glassnode data suggests XRP is retracing toward short-term holder (STH) realized price ranges, between $2.30 and $2.80.
These are the prices most short-term investors — those who bought in the past 1–3 months — paid for their XRP. When XRP peaked at $3.66, these holders were sitting on 20–30% unrealized gains.
As prices began to drop, many likely rushed to take profits or cut losses, intensifying the sell pressure.
Will XRP Hold the $3 Level?
Analysts say the $3 level could be a key psychological support zone for XRP. If it fails to hold, XRP could drift toward the $2.80 range — and possibly even the lower bound of its STH realized price around $2.30.
While XRP still enjoys strong liquidity and market attention, the combination of whale transfers, profit-taking, and broader market rotation into Ethereum and Binance Coin has left the token vulnerable to further downside.
