- XRP, Solana, and Dogecoin see a significant drop in holder profitability despite the recent market cap recovery.
- The Percent Supply in Profit metric reveals bearish sentiment for major altcoins amid ongoing price declines.
- TON and BNB outperform in profitability, highlighting contrasting investor sentiment across different crypto assets.
The global cryptocurrency market recorded a 2.1% increase in total market capitalization over the last 24 hours. However, some major altcoins are not reflecting this positive trend. Despite broader gains, key on-chain data shows a decline in profitability for holders of XRP, Solana (SOL), and Dogecoin (DOGE).
The percentage of assets available on the supply network in profitable positions exhibits a notable decrease according to data provided by Glassnode. The “Percent Supply in Profit” metric, which measures the proportion of tokens currently held above their acquisition price, shows noticeable declines across the board.
XRP’s figure dropped by 5.22% over the past month, leaving 81.5% of its holders in profit. Similarly, Dogecoin and Solana saw their supply in profit decrease to 53.6% and 35.2%, respectively.
Market Performance Reflects Profit Loss
Over the past week, XRP fell by 12%, while Solana dropped by 9.4%, and Dogecoin declined by 12.6%. These losses contribute to the drop in the profitability metric, which tends to decline in the face of downward price pressure. This trend indicates that recent market volatility has led to a reduction in the number of profitable addresses holding these assets.
The Percent Supply in Profit metric is generally considered a lagging indicator. While it does not predict future price movements, it helps gauge overall market sentiment. During confirmed bull markets, this metric often shows over 90% of the supply in profit. Current figures for XRP, SOL, and DOGE fall short of this threshold, suggesting cautious sentiment among market participants.
In contrast to negative market performance of XRP, SOL and DOGE, TON and BNB holders benefit from ongoing profitability. More than ninety-four percent and eighty-six percent of TON and BNB holders maintain profit states, according to Glassnode data, which validates the robustness of these market assets.
