XRP Holder Ratio slumps but surges past solana in stunning turnaround

The XRP Holder Ratio has nosedived in H1 2025—but don’t be fooled. Despite the drop, the XRP Holder Ratio still crushes Solana’s numbers.

Analysts say the XRP Holder Ratio signals institutional confidence, not weakness. The evolving XRP Holder Ratio reveals a bullish shift in investor strategy.

XRP Holder Ratio plunged in the first half of 2025, dropping dramatically from 5% to 2.42%, yet it continues to outperform Solana in one of the most surprising narratives of the year.

The contradictory movement of numbers has stirred fresh debate across the crypto community—how can fewer holders signal strength?

This XRP Holder Ratio paradox is a perfect example of why crypto markets defy surface-level readings.

According to Bybit’s 25H1 Asset Allocation Report, XRP’s holder ratio had actually doubled from October 2024 to May 2025, jumping from 1.29% to 2.42%. But zooming in on H1 2025 alone tells a different story—one of decline, not growth.

“The market is recalibrating,” said James Wo, CEO of DFG (Digital Finance Group). “What you’re seeing with the XRP Holder Ratio is not abandonment—it’s realignment ahead of potential catalysts like ETF approvals.”

Why the XRP holder ratio drop isn’t necessarily bearish

Although the XRP Holder Ratio fell sharply during H1 2025, analysts argue it doesn’t signal waning interest. Rather, it underscores a transition phase.

XRP price volatility has caused retail holders to consolidate or temporarily exit, while institutional wallets have quietly increased their stake.

“Holders may be fewer, but they’re bigger,” commented Kaiko analyst Clara Medalie. “XRP’s whale count is up—this shift from retail to institutional accumulation isn’t negative, it’s strategic.”

BeInCrypto recently confirmed that XRP whale wallets surpassed 2,700 in June 2025—reaching a 12-year high. That’s not just a number; it’s a vote of confidence from deep-pocketed investors.

Solana loses ground as XRP steals the spotlight

In a revealing comparison, Solana’s holder ratio dropped from 2.72% in November 2024 to 1.76% in May 2025. XRP’s 2.42% might look modest, but in relative terms, it marks a leap past one of the top-performing assets of the previous cycle.

What’s driving this XRP resurgence?

ETF speculation plays a big part. report states:

“The crypto investing industry view is that Ripple Spot ETF approval is likely ahead of such approval for a Solana Spot ETF. As such, we’ve observed partial capital allocation on the part of institutions from SOL to XRP.”

That speculative migration is reshaping portfolios across exchanges and driving a renewed sense of legitimacy around XRP, especially in the face of regulatory clarity achieved through Ripple’s legal milestones.

Retail traders shifting gears: Bitcoin out, XRP in

Another key trend affecting the XRP Holder Ratio is the behavior of retail traders. Between November 2024 and May 2025, Bybit noted a clear decline in Bitcoin holdings among retail investors.

These traders, in turn, ramped up allocations to altcoins like XRP and increased their stablecoin reserves.

“Based on further analysis, it’s likely that retail traders disposed of their Bitcoin holdings in order to purchase altcoins, such as XRP,” the report stated. “And they’re holding more stablecoins than usual.”

In other words, XRP has become a strategic hedge for retail amid market uncertainty.

Despite the fall in the XRP Holder Ratio, the asset appears to be maturing. Short-term selloffs have been absorbed by large-scale buyers, and the community is increasingly looking at XRP through a long-term lens.

With regulatory winds shifting and the potential for an XRP spot ETF on the horizon, both retail and institutional players see value.

“XRP is one of the few assets that’s survived legal scrutiny and kept its roadmap intact,” said Linda P. Jones, host of the Be Wealthy & Smart podcast. “That resilience is translating into trust—and accumulation.”

Conclusion: XRP Holder Ratio reflects strategic evolution

The sharp drop in the XRP Holder Ratio during H1 2025 isn’t a red flag—it’s a sign of maturation.

Retail rebalancing, institutional consolidation, and ETF anticipation are reshaping the holder landscape, allowing XRP to surpass Solana despite fewer holders.

With momentum building and whales entering at historic levels, the XRP ecosystem might be undergoing the kind of transformation that turns volatility into opportunity.