More than 90% of XRP’s supply is currently profitable, even though the token’s price has remained relatively flat for the past three months.

Data from on-chain analytics firm Santiment reveals that most of XRP’s circulating supply was acquired at lower price points than its current market value.

This level of profitability places XRP ahead of several major altcoins. For comparison, only 71.5% of Ethereum, 77.9% of Dogecoin, 71.0% of Cardano, and 80.5% of Chainlink holdings are in profit.

However, XRP trails only Bitcoin, which leads with 98.4% of its circulating supply in the green.

Analysts at Santiment explained that this profitability metric is often used to assess investor sentiment. According to them, a higher percentage of profitable wallets can lead to near-term sell pressure as holders take profits.

But when most investors are at a loss, markets often show signs of fear or undervaluation, which can attract new buyers and long-term capital.

Still, despite a recent 6% dip in XRP’s price this week, the strong on-chain profitability could indicate a foundation for a potential rebound.

Why XRP is primed for more success

Market analysts suggest developments beyond price charts could catalyze XRP’s next growth phase.

Ripple’s drawn-out case with the US Securities and Exchange Commission (SEC) has essentially resolved, lifting a significant overhang from the token.

However, progress on that front recently slowed because Judge Analisa Torres denied a joint motion due to procedural issues.

Nevertheless, the broader market sentiment on the XRP remains largely positive because the token has drawn notable attention.

For context, Nasdaq-listed VivoPower has revealed plans to establish a $121 million XRP-backed treasury. This development marks a first for a US-listed public company and reinforces the belief in XRP.

In addition, the XRP Ledger (XRPL) is experiencing rapid expansion within its ecosystem, as evidenced by its adoption by major institutions.

This month, the Dubai Land Department tapped the blockchain network to power a real estate tokenization project.

At the same time, new stablecoin products have also launched on the network, expanding its utility across fintech and traditional financial institutions.

Moreover, the institutional appetite for XRP-related trading products is rising.

This is evidenced by the fact that the Chicago Mercantile Exchange (CME) recently introduced XRP futures products, and the US SEC is currently considering multiple filings for a spot XRP ETF.

Together, these developments suggest growing institutional confidence and a broader push toward XRP adoption, which could bolster its price.

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