Over the past year, Ripple’s XRP has experienced one of the most impressive growth across the charts, growing from a low of $0.4 to a high of $3.2.
This expansion has had a tremendous impact on its position in the wider crypto market.
At press time, XRP’s dominance was outperforming the majority, if not all altcoins, and also Bitcoin [BTC]. In fact, XRP.D is currently at its highest level since 2020.
Looking at BTC’s strength, it suggests that Bitcoin dominance — in a 3-day timeframe — is at the highest level it has been throughout this cycle.
So, BTC’s market share is at the highest point it has been so far since April 2021. This directly shows that altcoins across the board have the least dominance since 2021. Thus, XRP is outperforming most altcoins.
What XRP’s charts suggest
XRP’s market cap dominance has risen from 1.7% to 5.17% over the past year. This shows that XRP has seen massive capital inflow with the number of users, and an increased adoption rate relative to other crypto assets.
Compared to the market cap of the largest altcoin, Ethereum [ETH], which from 17% to 8% over the past year, XRP has gained over the same period.
Additionally, XRP’s risk-adjusted to returns has experienced strong growth over the past year, rising from negative (-0.315) to a high of 2.39 and now settling at 1.61.
Such a spike implies that XRP is providing more returns relative to the risk taken. This has made the asset more attractive to investors, leading to more capital inflow and higher adoption rate.
What next for the altcoin?
With the rising strength against the market, Ripple’s XRP is well positioned for growth.
If the strength observed holds for a sustained period, it will not only challenge the competition, but also see more gains on its price charts to reclaim $3.
