XRP has witnessed a surge in selling activity since it climbed to a three-year high of $1.63 on November 23. Currently trading at $1.41, the altcoin has since noted a 13% price dip.

On-chain data has revealed a significant spike in profit-taking activity over the past few days. This highlights a potential continuation of the XRP price dip. What should token holders look out for?

XRP Traders Book Gains

BeInCrypto’s assessment of XRP’s on-chain performance has shown a surge in profit-taking activity among its holders, reflected by its rocketing realized profit. According to Santiment’s data, over the past seven days, XRP’s realized profits have totaled $1.84 billion, the highest since April 2021.

An asset’s network realized profit measures the overall profit gained by network participants based on the price at which tokens were last moved. A spike in this metric indicates that many holders are selling their assets at a significant profit compared to their acquisition price.

This often occurs during periods of high market activity. It signals a profit-taking trend and hints at potential changes in sentiment. As this selling pressure increases, the downward price action persists. 

Notably, XRP’s long-term holders contribute to the downward pressure on its price. They have taken advantage of the token‘s rally to a multi-year high to book gains, as evidenced by the decline in XRP’s Mean Dollar Invested Age (MDIA) over the past week.

This metric tracks the average age of all dollars invested in an asset, reflecting how long tokens have been held in wallets. When it falls, it indicates increased network activity as older coins are being moved or spent. 

As in XRP’s case, when the MDIA falls during a price rally, long-term holders are actively selling their assets, contributing to the bearish pressure on the altcoin’s price. The reason for this is not far-fetched.

The percentage of XRP supply in profit recently crossed 90%. This means that most XRP holders are now making a profit. As of this writing, nearly 97% of the token’s circulating supply of 99 billion is in profit.

XRP Price Prediction: Token Risks Falling Below $1.30

XRP currently trades at $1.41, above support formed at $1.33. Sustained profit-taking activity by token holders will pull XRP’s price to test this support level. If it fails to hold, the downward trend strengthens, and the XRP price dip may extend to $1.28.

On the other hand, this bearish projection will be invalidated if buying activity resumes. This may push XRP’s price toward revisiting its three-year high of $1.63.

Dolos The Bully (BULLY), a meme coin built on the Solana blockchain, has hit a new all-time high today. This milestone comes after BULLY’s price increased by over 700% within the last seven days.

With its market cap above $200 million, the meme coin holders may be wondering if the price can go higher. This analysis looks at the possibility.

Dolos The Bully Soars, Shows Bullish Potential

At press time, BULLY is trading at $0.23, marking a significant rise in its value. Over the last 24 hours, the meme coin surged by 72%, contributing to an impressive 700% increase over the past week. This meteoric rally indicates heightened interest and bullish momentum around BULLY in recent days.

For context, Dolos The Bully was created as a meme coin related to an AI language model built on the Llama 3.1 architecture. The token also embodies a persona that blends the cunning and trickery of Greek mythology with the sharp, fast-paced dynamics of crypto Twitter culture, similar to tokens like Goatseus Maximums (GOAT).

However, BULLY’s rapid gains often come with volatility. As such, the meme coin holders may need to monitor it closely for potential corrections. 

According to Messari, the volatility around BULLY has been rising since November 20. This suggests that massive buying pressure or selling pressure could lead to a quick rally or downturn.

Besides that, BULLY’s Sharpe Ratio has recently jumped, further supporting its upward price trajectory. This metric assesses an asset’s performance by factoring in the risk taken. 

A positive Sharpe Ratio indicates that the reward from holding or trading the cryptocurrency outweighs the risk, suggesting favorable investment potential. Conversely, a negative Sharpe Ratio warns that the asset might not yield satisfactory returns relative to the risks involved.

For BULLY, the current positive Sharpe Ratio implies that the meme coin is likely to continue its price increase, provided the metric remains positive. This aligns with the recent 72% daily and 700% weekly surge, reflecting growing market confidence in the token.

BULLY Price Prediction: Higher Highs Next?

On the 4-hour chart, BULLY’s price has risen above the 20-day Exponential Moving Average (EMA). The EMA assesses if a cryptocurrency’s price is moving in an upward direction or in a downtrend.

When the indicator rises, the trend is bullish. But when it trends downwards, it is bearish. Since the Solana meme coin is above the 20 EMA (blue), it means that the price is likely to increase. If that remains the case, then the token’s value might climb toward $0.30.

However, if selling pressure rises, that might not be the case. In that scenario, BULLY could drop below $0.16.

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