XRP has surged more than 20% in the last 24 hours, surpassing Tether (USDT) to become the third-largest cryptocurrency by market capitalization. Meanwhile, Bitcoin (BTC) struggles to break the $100,000 threshold as it faces a significant $384 million sell wall, which may hinder its ability to push past this key resistance level.
XRP’s Remarkable Surge and Market Position
Over the past 30 days, XRP has surged a staggering 375%, reaching $2.40 per token, while its market capitalization soared to $139 billion, moving it ahead of Tether (USDT) as the third-largest cryptocurrency globally.
This explosive growth is a significant milestone for XRP, driven by a combination of renewed investor interest and speculations surrounding future developments for the cryptocurrency. The 20% surge in the past 24 hours alone has solidified XRP’s position as a major player in the crypto space.
What’s Driving XRP’s Surge?
Several factors are contributing to XRP’s recent rise:
- Retail Interest on Social Media: Platforms like TikTok have played a crucial role in generating hype and driving retail interest in XRP.
- Ripple’s Stablecoin Approval: Investors are excited by the possibility that Ripple may soon secure approval for a stablecoin, which would further increase demand for XRP.
- XRP ETF Speculation: The potential for an XRP Exchange-Traded Fund (ETF) is another major factor fueling the rise in XRP’s price.
These factors have combined to create a bullish momentum for XRP, drawing in new investors and market participants.
Record Trading Volumes for XRP
XRP’s trading volume has reached impressive levels globally. Upbit, the largest crypto exchange in South Korea, saw a record $4 billion in XRP-Won trading over just 24 hours, accounting for over 27% of the exchange’s total trading volume, according to CoinGecko data.
This surge in trading activity coincides with South Korea’s decision to delay the imposition of a crypto capital gains tax until 2027, a move that is expected to further fuel speculative trading in the cryptocurrency market.
Bitcoin’s Struggles with $100,000 Sell Wall
While XRP is riding a wave of positive momentum, Bitcoin is encountering resistance at the $100,000 level. Bitcoin has struggled to break the $100,000 barrier, trading within the $90,000 to $100,000 range for several weeks.
The key challenge Bitcoin faces is a massive $384 million sell wall, which has been preventing it from gaining ground above this psychological level. Valentin Fournier, an analyst at BRN, noted that the market needs to absorb a sell order of over 4,000 BTC before Bitcoin can move higher.
Increased Rotation from Bitcoin to Altcoins
As Bitcoin’s dominance continues to slide, altcoins like XRP are benefiting from the shift in investor sentiment. Bitcoin’s dominance rate has decreased from 61.5% to 56.5% since mid-November, reflecting a growing interest in other cryptocurrencies.
This trend indicates that investors are increasingly rotating capital out of Bitcoin and into altcoins, potentially fueling further price action in XRP and other digital assets.
XRP Gaining Ground as Bitcoin Faces Resistance
XRP’s impressive rise, coupled with growing interest driven by social media trends, speculation about Ripple’s stablecoin, and the potential launch of an XRP ETF, has solidified its position as the third-largest cryptocurrency by market cap.
While Bitcoin faces resistance near the $100,000 mark, with a massive sell wall hindering upward movement, XRP is gaining momentum and attracting significant capital. As investor sentiment shifts from Bitcoin to altcoins like XRP, the latter is well-positioned to continue its upward trajectory and potentially maintain its position as a top player in the cryptocurrency market.
