A significant wave of profit-taking has swept through cryptocurrency markets, with long-term investors capitalizing on recent all-time highs.

Fresh on-chain data reveals that holders of major assets have collectively sold off approximately $2.8 billion in gains, contributing to a widespread market cooldown.

$2.8B in Realized Profits as Major Coins Face Selling Pressure

Analytics firm Glassnode reported on August 20 that holders of more than one month booked billions in profits across top digital assets, including Bitcoin (BTC), Ethereum (ETH), Ripple’s XRP, Solana (SOL), and Tron (TRX).

Bitcoin set the pace, with holders registering a massive $1.5 billion in realized profits on July 18, the largest such event since December 2024. ETH followed suit, peaking at $575 million on August 16, with the figure also marking its most substantial profit-taking spike of the current market cycle.

Solana mirrored this activity, seeing more than $105 million in profits realized on August 17, its largest since early 2025, while XRP hit a $375 million profit-taking event on July 24, echoing behavior from its late 2024 rally.

According to Glassnode, this collective action shows a strategic decision by experienced investors to lock in gains following a prolonged upward trend, directly influencing the current price pressure.

The timing of the reaping comes alongside increased volatility in the market. As previously reported by CryptoPotato, BTC dropped below $113,000 for the first time since early August, dragging down other cryptocurrencies, including ETH, which went below $4,200, while XRP was pushed under the $3.00 support. Meanwhile, Cardano (ADA) was among the hardest hit, plunging 8% to $0.85, while the overall market shed more than $70 billion in capitalization overnight.

Market Sentiment, Short-Term Pain, and the Road Ahead

Interestingly, the selloff has also come at a time when there is a stark shift in crowd psychology. Data shared today by Santiment showed that social media sentiment toward BTC has turned sharply negative, hitting its lowest since June. Historically, such fear-driven phases have often marked local bottoms, with contrarian traders stepping in to take advantage of the increasing panic in the market.

Short-term data further shows the divide between long- and short-term participants. A recent CryptoQuant report noted that investors who have held Bitcoin for less than five months had realized losses for the first time since the start of the year. Such events, according to the platform’s analysts, either flush out weaker hands before a rebound or risk deeper corrections if selling accelerates.

Meanwhile, Tron is offering a counterpoint. Despite heavy long-term profit-taking earlier this month, short-term TRX holders are sitting on gains of more than 30%, sparking optimism for continued momentum.