According to XRP, XRP holders are now incurring losses at nearly three times the rate at which they receive profits. Glassnode update. The 90-day simple moving average of the realized P/E ratio fell to 0.38. This means that for every $1 lost in the market, only 38 cents of profit is booked. During the speculative peak in 2025, the same ratio reached 50, with profit takers outnumbering losing sellers by a factor of fifty to one. A complete reversal indicates a market in which currency movers are giving up significantly.
The bleak picture on the series does not end there. Another Glassnode benchmark reveals that the total fees paid on the XRP network have collapsed from 5,900 XRP in February 2025 to just 500 XRP today – a decline of 91.5%. Such a significant decrease does not represent an adjustment in the fee structure; It indicates an almost complete contraction in demand for organic transactions since the speculative frenzy ended.
While on-chain XRP activity is fading, other ecosystems are holding up better. BlockchainReporter’s analysis of Top 10 Blockchains by Developer Activity This week put Ethereum, BNB Chain, and Polygon at the top, while Solana, Cosmos, Arbitrum, and Avalanche are still seeing strong interaction. This kind of developer momentum did not extend to XRP, as transaction demand evaporated once the hype cycle ended.
Regulatory uncertainty continues to loom over altcoin markets. With the landmark US cryptocurrency bill facing potential veto by banks just days before the Senate vote, as BlockchainReporter points out, sentiment around speculative tokens like XRP remains volatile. The combination of weak network fundamentals and a fragile macro regulatory backdrop makes a rapid recovery difficult.
Loss losses across the chain are reaching historic limits
It is rare for the realized P/L ratio to remain below 1 for a long time. It indicates that the majority of on-chain volume is made up of coins moving at a loss – often the hallmark of a deep capitulation. At the 2025 high, the ratio was so lopsided towards profit that almost no one wanted to sell at a loss. A reversal to 0.38 shows that exit liquidity has dried up, and many late buyers are now underwater. It remains unclear whether this represents a final departure or simply a new equilibrium where sellers outnumber opportunists.
Network demand disappears along with fee revenue
The 91.5% fee breakdown is arguably more telling than the P/E ratio. Fees directly measure the amount of activity occurring on the chain. The drop from 5,900 XRP in February 2025 to 500 XRP can now not be waved away as an adjustment. It reflects a network that has lost almost all of the demand for speculative transactions that once supported it. Without a catalyst to revitalize usage – whether through payments integration, DeFi growth on the XRP Ledger, or new application layers – the low-fee environment may persist.
Traders monitoring XRP will likely be watching whether this capitulation event turns into a local bottom, as taking severe losses sometimes precedes stabilization. But the fee data points to something deeper than fear of prices: The network is simply not being used at anywhere near its previous pace. This distinction is important. Surrender can be bought when driven purely by emotion; When accompanied by a structural decline in employment, the path to recovery becomes longer and less certain.
