XRP’s Descent: A Capitalist’s Nightmare

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In the shadow of geopolitical tempests and tariff storms, XRP has plummeted, its value eroded by the relentless march of market despair.

The on-chain data whispers of a market in turmoil, yet amidst the despair, the question lingers: does the shadow of a bottom loom on the horizon? Perhaps, but only if the gods of crypto mercy grant it.

XRP’s Suffering: A Symphony of Large Holder Transfers and Rising Realized Losses

Darkfost, the seer of the blockchain, warns of a deluge of 31 million XRP, a $45 million storm brewing on Binance‘s shores. One might wonder if these tokens are merely waiting for a chance to be liquidated, or if they’re just taking a siesta on the exchange’s couch.

Whale wallets, those titans of the crypto seas, have deposited 14.49 million XRP, a sum that would make even the most stoic investor weep. Meanwhile, smaller cohorts, like the timid sheep of the blockchain, contribute their meager 2.9 million, as if hoping to avoid the storm.

Wallets holding between 100,000 and 1 million XRP contributed 14.236 million XRP. Smaller cohorts contributed comparatively modest amounts, including 2.9 million XRP from wallets holding 10,000 to 100,000 tokens. A tale of haves and have-nots, written in digital ink.

The concentration of inflows among large holders is noteworthy. Exchange flows of this size typically raise concerns about potential selling pressure, as transfers to centralized platforms may indicate that tokens are being positioned for possible liquidation. Or perhaps they’re just practicing their dance moves for the inevitable market tango.

However, it is important to note that simple transfers to exchanges do not confirm that sales will occur. Tokens can remain idle on trading platforms for extended periods, be used as collateral, or be moved for internal rebalancing purposes. A reminder that even in the digital realm, nothing is ever certain-except the certainty of uncertainty.

While the inflows increase the risk of near-term volatility, they do not guarantee immediate downside. A comforting thought, if one can find solace in the abyss.

“Altogether, this represents a sudden potential sell-side pressure of nearly $45 million that warrants close monitoring. Should this selling pressure persist, XRP may struggle to recover from its ongoing correction in the near term,” the analyst wrote. A prophecy of doom, perhaps, or a warning from the depths of the blockchain.

Meanwhile, the transfers coincide with growing stress among XRP holders. Data from Santiment shows that XRP’s realized losses have climbed to their highest level since 2022. Such spikes typically occur when investors sell at prices below their cost basis, reflecting capitulation or panic-driven exits during periods of heightened volatility. A dance of despair, performed by the masses.

🚨 XRP in a critical zone

XRP is struggling to reclaim and hold above its Realized Price.

The Realized Price is one of the most important onchain levels, as it represents the aggregated average price paid for the circulating supply.

When an asset remains below this level, it…

– Alphractal (@Alphractal) February 22, 2026

Further reinforcing the cautious outlook, institutional demand appears to be cooling. This is evidenced by the declining XRP ETF inflows. Even with strategic expansions and ecosystem development, XRP has struggled to decouple from the wider market weakness, suggesting that macro conditions continue to outweigh project-specific progress. A reminder that in the grand tapestry of finance, even the brightest threads can be overshadowed by the loom of macroeconomic forces.

Is XRP Nearing a Bottom? On-Chain Data Points to Capitulation Phase

Despite the spike in XRP realized losses, Santiment noted that such developments serve as an “important price signal.” The post added that historically, these spikes often appear near market bottoms. Santiment explained that extreme fear tends to peak before the price. Once selling pressure becomes exhausted, even modest new demand can drive a rebound. While this does not guarantee an immediate rally, it increases the probability of a relief bounce. A flicker of hope in the darkest of times.

“When the previous weekly milestone of -1.93B in realized losses occurred 39 months ago, $XRP proceeded to jump +114% over the next 8 months,” the post read. A tale of redemption, perhaps, or a cruel joke played by the market.

In addition, BeInCrypto recently highlighted that the Market Value to Realized Value (MVRV) is mirroring a setup last observed in July 2024. This was followed by a price rally. A ghost of past successes, haunting the present.

That said, historical precedents should be interpreted cautiously. Market structure, liquidity conditions, and macroeconomic factors differ across cycles. A lesson in humility for those who dare to predict the future.

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2026-02-23 09:51