XRP Price Faces Potential Decline as Realized Cap Surge

The RMC tracks the value of digital assets based on their last transaction price. Since November last year, there has been a rise in the realized cap of the 3-to-6-month group

Active addresses used by the seventh-largest cryptocurrency, XRP, dropped by more than 90% from their March 2025 peak, but volumes are high.

The price of XRP has risen by more than 385% since late 2024. However, new on-chain data suggests that these gains may have attracted buyers at fragile price points. According to the data, over 70% of XRP’s realized market cap (RMC) was acquired between late 2024 and early this year.

What Is Being Measured By The Realized Market Cap

The RMC tracks the value of digital assets based on the last transaction price. Since November last year, there has been an increase in the realized cap of the 3-to-6-month group, including a sharp increase after January 2025, when XRP’s price reached a new high of almost $3.40.

In the past, this market structure often caused sharp price declines, due to newer investors often wanting to sell quickly when the market goes down. A huge amount of money began to flow into XRP several months before it hit its peak of about $3.55 in December 2017.

Just as in mid-2020, 2021 saw short-term holders realize their profits with a sudden big increase, which then dropped by almost 80%.

This time, the realized cap dropped to lower lows, which might indicate that there wasn’t selling pressure, and institutions or long-term traders were accumulating at lower prices, offering support.

After January 2025 saw a huge decrease in active addresses, they dropped to lower lows, continuing the downtrend from March 2025, sliding by more than 90% from their highs.

Although this drop might be a warning sign, the decline in active addresses suggests that more people are holding the coin while a lesser number are using it to send or receive funds.

This indicates that the coin’s liquidity is decreasing, which could hamper its ability to move higher.

At the same time, the seven-largest cryptocurrency saw its trading volume increase to $2.2 billion in the last 24 hours, up by 8.34%. Its price dropped by 0.63% and now trades at $2.32. Despite the small price variations, more people are finding interest in it.

Yesterday, the price of XRP was as high as $2.3355 and fell afterwards to move in a range of $2.31 to $2.34.

XRP’s 65% profile score on CoinMarketCap means it is recognized by traders as a valued asset. The fourth-most valuable cryptocurrency has grown by 1.61% in dominance in the last 24 hours.