- XRP surged over 500% in Q4, with its market cap jumping from $28.99B to $154.83B, challenging Bitcoin’s market dominance.
- Ripple’s RLUSD launch and regulatory developments drive XRP’s independence from Bitcoin, reshaping altcoin market trends.
- XRP consolidates near $2.25 with early bullish signals, while Bitcoin trades at $94K, showing the changing crypto market views.
The crypto market is seeing a shift, with XRP emerging as a standout performer in Q4. Over the past month, XRP has surged over 500%, taking its market capitalization from $28.99 billion to $154.83 billion.
This growth shows an upward move from the traditional correlation between Bitcoin and altcoin movements. Unlike past trends, XRP’s performance appears independent of Bitcoin, challenging long-held assumptions about market movements.
XRP Gains Market Share as Bitcoin Dominance Dips
XRP’s recent market dominance aligns with a decline in Bitcoin’s market share. According to CryptoQuant’s Ki Young Ju, Bitcoin dominance recently dipped, with XRP getting a 3% of the market share.
However, Bitcoin is regaining some of its dominance. Despite this recovery, only a limited number of altcoins, including XRP, are getting fresh liquidity. This scenario does not represent a typical alt season but shows a shift in market preferences.
XRP’s performance is attributed to unique factors like regulatory developments and RLUSD launch, setting it apart from other altcoins.
Bitcoin’s Limitations
Ripple CEO Brad Garlinghouse has weighed in on the changing market perception. He emphasized that while Bitcoin has been a leading, its limitations in payments hinder broader adoption.
Garlinghouse noted issues such as slow transaction confirmations and high fees, which make Bitcoin less practical for everyday transactions. This perspective aligns with XRP’s focus on efficient and cost-effective payment solutions.
XRP’s dominance spike in late 2024 aligns with crucial events involving Ripple. During this period, Bitcoin’s dominance saw a dip, showing XRP’s growing market appeal. Bitcoin’s resilience allowed it to recover, emphasizing its status as a preferred store of value.
XRP Price Trends
At press time, XRP was trading at $2.25, a 2% increase in the past day. XRP has entered a consolidation phase, ranging between $2.2414 and $2.2665. Trading volume remains modest at 15.95 million, suggesting limited participation.
The RSI and MACD suggest early bullish momentum. The RSI, at 49.84, indicates balanced conditions with moderate buying pressure. The MACD shows a bullish crossover, hinting at potential upward momentum. However, low volume may restrict decisive moves.
At press time, Bitcoin was trading at $94,379.03, down by 1%. Its dominance declined by 2.01%, reflecting XRP’s stronger performance during this period. XRP’s consolidation and Bitcoin’s resilience show shifts in the crypto market, with both assets having distinct movements.
