XRP SOPR Falls Below 1.0, Signifying Widespread Losses
On-chain data from February 10, 2026, reveals a significant shift in XRP holder behavior as the asset's profitability has deteriorated. The Spent Output Profit Ratio (SOPR), a Glassnode metric that gauges the average profit or loss on transactions, has officially fallen below the 1.0 threshold. A reading below this level confirms that the majority of XRP being moved on-chain is now being sold at a net loss.
This development marks the first major net-loss realization event for XRP holders since 2022. It indicates a fundamental break in the market's structure, where sellers have finally exhausted their gains and entered a state of capitulation.
Holder Capitulation Signals Short-Term Pain, Potential Bottom
The fall in SOPR points to widespread holder exhaustion and panic selling. This market behavior typically increases selling pressure and can lead to further price declines and heightened volatility in the short term. Investors are effectively giving up on their positions, choosing to exit at a loss rather than endure more downside.
However, for long-term market participants, such capitulation events can serve as a powerful contrarian indicator. Historically, periods where the majority of sellers are realizing losses often coincide with the formation of a market bottom. This is because capitulation tends to exhaust the supply of panicked sellers, removing a major source of downward pressure and creating conditions for a potential price recovery.
