Recent market data shows that almost all XRP investors are currently in profit, with 94% of wallets holding gains at present price levels. This rare level of profitability has historically preceded sharp declines, but some analysts believe this cycle may follow a different trajectory. High Profitability Levels Raise Concerns XRP continues to trade above $3, close to its record highs, after climbing from $0.40 to $3.11 within a year, a gain of more than 500%. According to on-chain figures published by Glassnode, this surge has pushed nearly every XRP wallet into positive territory. Market commentator Winny cautioned that such widespread profitability has been a warning signal in the past. He pointed to two historical examples where a similar setup preceded major crashes. Markets have memory. And every time XRP hits a major milestone it feels like déjà vu. Think of it like climbing a mountain: the higher you go, the thinner the air. XRP just touched $3.11 a 500% run from $0.40 in less than a year. 94% of all supply is now in profit ( @glassnode ).… https://t.co/7LhOwyxepM — Winny (@0xWINNYx) August 18, 2025 In early 2018, profitability exceeded 90% as XRP approached $3.30, after which the token fell by more than 95%. Again in 2021, when XRP reached $1.95, profitability was at similar levels before an 85% decline followed. Given these precedents, Winny argues that investors should be cautious, stressing that when most market participants are in profit, selling pressure becomes difficult to avoid. Factors That Could Prevent a Repeat Despite the risks, Winny acknowledged that current conditions show important differences from prior cycles. Notably, large holders , wallets with more than one million XRP, have reached record levels, suggesting stronger long-term conviction among major investors. Network activity is also at its highest point in years, with daily active addresses rising to 225,000, the largest figure in three years. Technical data adds to this outlook, as XRP is consolidating around $3.05 in a triangle formation. A downside break below this area could open the door to $2.40, but if the price moves upward, Elliott Wave projections suggest a possible advance toward $6 or beyond. Winny concluded that these factors could create stronger support levels than in previous cycles, potentially reducing the scale of any correction even if profit-taking occurs. We are on twitter, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) July 15, 2023 Alternative Scenarios from Other Analysts Another analyst, EGRAG Crypto, offered a different perspective. He argued that while XRP may experience a further rally in the near term, a significant retracement remains likely. He presented two possible scenarios: if XRP rises to $9, he expects a pullback of about 85%, which would return the token to $1.30. In a more bullish case, if XRP surges to $27, he foresees a correction of roughly 97%, which could push the price back to $0.80, similar to the collapse seen in 2018. The market’s next move remains uncertain as XRP investors weigh high profitability against new technical and on-chain developments. While historical data suggests that such levels of profit often precede steep declines, analysts argue that increased whale accumulation and stronger network activity may change the outcome this time. Whether XRP can sustain its current momentum or repeat past patterns will likely be determined by how the market reacts in the coming weeks. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on Twitter , Facebook , Telegram , and Google News The post 94% of XRP Supply Sits on Profit, But… appeared first on Times Tabloid .