Bitcoin Throne Shaken? XRP And Emerging Tokens Steal The Spotlight
08 November 2023 - 2:00PM
NEWSBTC
According to a recent Bloomberg report, the crypto market is
experiencing a significant rally, with speculative demand expanding
beyond the revival of Bitcoin (BTC). In November, gauges
tracking the performance of the bottom half and mid-tier tokens in
MarketVector’s index of the largest 100 digital assets surged by
16% and 14%, respectively. This surpasses the broader market’s 4%
gain and Bitcoin’s modest 1% rise. As a result, BTC’s dominance in
the $1.38 trillion crypto market has decreased to around 49%, down
from its peak of 51.5% in October, as per CoinGecko data. This
decline is often perceived as a sign of growing risk appetite among
digital asset investors. Optimism Spreads Beyond Bitcoin Richard
Galvin, co-founder at Digital Asset Capital Management, noted that
this rally is “more extensive and sustained” than any price action
seen since January. Galvin mentioned to Bloomberg that in an
environment still “relatively thin” in terms of liquidity,
substantial upward movements are being witnessed. Bitcoin
experienced a notable 28% surge last month, the largest since
January, driven by expectations of the first US Bitcoin spot
exchange-traded funds (ETFs) securing approval for direct
investment in the token. Related Reading: Analyzing ADA Solid
25% Gain: Signs Point To Cardano Rally Ahead Per the report, the
general sense of optimism has extended beyond Bitcoin, fueled by
speculations that the Federal Reserve (Fed) has concluded its
interest-rate hikes. Furthermore, according to Bloomberg, the
crypto rally is spreading to other areas, such as decentralized
finance (DeFi), encompassing blockchain projects facilitating
peer-to-peer transactions. Interest rates to borrow
stablecoins on major DeFi lender Aave have exceeded 10%, indicating
investors’ willingness to pay higher costs to fund trading
positions. XRP Strength Shines Amid Ripple’s Legal Battle Among
“smaller tokens,” XRP demonstrated strength in November by
recording a 14% increase. This surge can be attributed to Ripple’s
recent partial legal victory over the Securities and Exchange
Commission (SEC). The lawsuit raised questions regarding whether
XRP should be classified as a security falling under the regulatory
purview of the SEC. As a result, XRP is currently trading at
$0.6699, experiencing a notable decline of over 5% in the past 24
hours after failing to consolidate above current levels.
Nonetheless, the token has generated significant profits, evidenced
by its 11.4% surge over the past seven days. Related Reading:
Self-Authentication System Of Shiba Inu Has Technical Issues,
Developer Reveals Moreover, speculation regarding a potential
settlement of the SEC lawsuit has been fueled by an upcoming
November 9 deadline for a briefing schedule on remedies for pending
issues in the case. While Bitcoin has experienced a significant
rebound this year, with a 111% increase following the crypto rout
in 2022, it is currently trading at 34,800, consolidating above
this key level with sideways price action and a slight surge in the
past seven days of 1%. Overall, the crypto market is experiencing a
broader rally beyond Bitcoin, with its peers gaining momentum and
decentralized finance gaining traction. Positive developments for
Ripple have contributed to the surge in XRP, while Bitcoin’s
rebound and growing investor sentiment indicate a potential shift
in the overall market dynamics. Featured image from Shutterstock,
chart from TradingView.com
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