Due to the persistent volatility in the cryptocurrency market, XRP, which showed a strong rebound over the past four weeks, has experienced a significant drop. The price of XRP has fallen by 10%, dropping to $2.26.
This decline has caused XRP's market capitalization to fall below that of Tether. Meanwhile, mainstream cryptocurrencies such as Bitcoin and Ethereum have risen, with Ethereum up 5% and Bitcoin up 7%.
Shifting from altcoins to Bitcoin and Ethereum
Swyftx chief market analyst Pav Hundal explained that this trend is related to the investor cycle. Hundal stated, 'Investors are shifting from altcoins to major cryptocurrencies like Bitcoin and Ethereum. The expectation of continued rises in Bitcoin supports this trend.' He also noted that the drop in XRP is part of the overall market cycle.
Cryptocurrency analyst Dark Defender believes this drop was expected. He stated, 'The price of XRP may continue to consolidate for a while. However, we expect the price to reach $2.92 and $3.99 in the long term.' These comments indicate that investors need to remain vigilant.
The developments at the SEC bring hope for XRP.
The changes at the SEC have created a positive atmosphere for the XRP community. Former U.S. President Donald Trump nominated Paul Atkins as the SEC chairman, which was welcomed by XRP holders. XRP supporters described Atkins as 'crypto-friendly' and a 'logical candidate.' Analyst James Murphy emphasized the potential positive impact of this development on XRP's price.
Additionally, CryptoQuant CEO Ki Young Ju expects significant changes in the altcoin season. 'Bitcoin has created its own alliance. The BTC-altcoin correlation has become a thing of the past,' he said. Ju pointed out that altcoins need to develop innovative solutions.
Finally, the launch of the RLUSD stablecoin on XRPL and Ethereum, along with four U.S. spot XRP ETF applications, has garnered attention. The appointment of a new SEC chairman may impact the future of XRP and other altcoins. However, investors must closely monitor market trends and make strategic decisions.
