In the last week, the price of XRP has rallied by 73% and that of Binance Coin (BNB) by 39.6%. So far this year, Bitcoin’s dominance has dropped from 70% to 55%.
For the first time since 2018, the price of XRP exceeded USD 1 with a 73% push in recent days. The rally occurs as altcoins have resurfaced and Bitcoin’s dominance has decreased by 15% since the beginning of January.
There has also been a 39.6% rally in the price of Binance Coin (BNB) in the last week. Polkadot (DOT), Litecoin (LTC), and Chainlink (LINK) follow it, showing weekly returns above 20%.
The impact of the US Securities and Exchange Commission (SEC) lawsuit against Ripple has been negative. It is important to remember that the government agency classified the sale of XRP as illegal. However, the company’s CEO Brad Garlinghouse stated that they maintain positive expectations about the course of the legal process.
The recent SEC hearing with Ripple could have influenced this noticeable appreciation of XRP. On his Twitter account, attorney Jeremy Hogan highlights that the hearing could be relevant to the case.
Binance Coin Rebounded by 40%
XRP jumped from seventh to fourth place in the rankings in the last week, according to data from CoinMarketCap. Meanwhile, Binance Coin (BNB) is in third place behind Ethereum, with a rally of almost 40% in just one week.
BNB exceeded the capitalization of USD 50 billion and is currently approaching USD 60,000. At the time of writing this article, the cryptocurrency is trading at USD 386.88.
According to data from CoinGecko, the total market capitalization of cryptocurrencies exceeded USD 2 trillion for the first time. In addition to that, it reached the all-time high of USD 2,039 trillion.
The Dominance of Bitcoin Suffered a Drop
After a slight pullback, the current market capitalization of cryptocurrencies is USD 1.983 trillion. At the same time, Bitcoin’s market capitalization is USD 1.078 trillion whereby its dominance has dropped to 54.4%.
The appreciation of altcoins continues to strengthen relative to that of the pioneering cryptocurrency. The performance of altcoins against Bitcoin’s appreciation for 90 days indicates the start of an altcoin season.
This condition only occurs when more than 75% of the first 50 cryptocurrencies have an appreciation greater than that of Bitcoin. In that sense, 92% of this group currently offers a higher return.
What May Happen to the Price of XRP after a Sharp Rise
Despite the short-term trend being bullish, it was not until recently that the bulls made their mark. For this reason, there are expectations that the price will continue to set higher all-time lows and highs in the short term.
XRP is currently experiencing fairly developed short-term momentum. The developing candlestick is showing some signs of bullish exhaustion. That may mean that there will be a small correction before the price of the cryptocurrency continues to rise.
By Alexander Salazar