- XRP jumped 350%, doing better than Bitcoin and other altcoins since Trump’s election.
- Altcoins may bounce back soon, as they are now at an important support level.
- Bitcoin is leading the market, helped by big investors and ETFs, while many small coins are falling.
Since Donald Trump’s re-election campaign caught steam, the crypto market has seen some uncharacteristic volatility, especially among altcoins.
The biggest among the surprises is XRP, which has surged over 350%, way above Bitcoin’s 58% gain. Bitcoin recently reached all-time peaks of about $111,000, though it had fallen below $80,000 previously due to trade uncertainty.
Owing to its stability, despite this price volatility, Bitcoin has been able to bounce back and cross significant levels of resistance.
XRP Leading the pack
While XRP is storming ahead, the rest of the altcoins have had very little movement. Ethereum (ETH) has risen by 10%, Solana (SOL) by 9%, and Cardano (ADA) only by 12%. When compared to XRP’s big rally, these figures indicate that XRP has handily beaten the rest of the altcoin market.
XRP’s price had been trending downwards continuously since January 17, but this reversed on May 10. Analysts look at XRP as oversold, that is, its Relative Strength Index (RSI) is low usually an indicator that the asset is underpriced and poised to recover.
Bitcoin’s RSI is, on the other hand, high right now, indicating that it might be overbought and could suffer a pullback in its price. With fresh investors coming into the XRP market, analysts feel that it may be preparing for another surge.
Other Altcoins at a Turning Point?
Market experts are also closely watching the BTC ratio, which is the comparison between the aggregate market cap of all cryptocurrencies except the top 10 and Bitcoin.
This ratio provides an idea about how well smaller altcoins are performing versus BTC. It has now reached a key support level. If this holds, we can expect to see a return of mid-cap and small-cap altcoins.
But it is not a certainty. Some experts suggest that altcoins are weakest compared to Bitcoin in the present cycle. The market recently experienced the lowest close for a week since 2021, and perhaps it will take longer for the altcoins to bounce back.
Institutional demands on the Bitcoin
According to Research, the altcoin market is under pressure due to rising institutional and ETF demand for Bitcoin, which has helped BTC push past the $111,000 mark. In the meantime, altcoin performance has been inconsistent. Hyperliquid and AAVE gained sharply by 13% and 42%, but Trump Token, SUI, DOGE, ADA,..lost sharply.
| Institution / Company | Bitcoin Held | Approx. Value (USD) | Details / Purpose |
|---|---|---|---|
| Strategy (formerly MicroStrategy) | 528,185 BTC | $56.2 Billion | Largest corporate holder; ongoing strategic accumulation. |
| GameStop Corp. | 4,710 BTC | $501 Million | Treasury reserve diversification. |
| Metaplanet Inc. | 4,525 BTC | $481 Million | Japanese firm building long-term BTC strategy. |
| Semler Scientific | 3,467 BTC | $368.7 Million | Company treasury investment. |
| Fidelity (ETF: FBTC) | ~BTC equivalent via ETF | ~$14.58 Billion | High ETF inflows show institutional demand. |
| BlackRock (ETF: IBIT) | ~BTC equivalent via ETF | ~$50.9 Billion | Integrated BTC into fund strategies. |
| Mubadala (UAE) | BTC ETF shares (IBIT) | $436.9 Million | 7th largest holder of IBIT ETF. |
| U.S. Government | ~192,000 BTC | $20.4 Billion | Strategic Bitcoin reserve from seized assets. |
| Pakistan Government | Not disclosed | – | Plans to hold BTC in national wallet, support BTC mining. |
Even XRP, which rebounded, has had poor follow-through recently. BNB and Solana also traded unevenly, thus continuing the trend in the altcoin space.
What’s Next for Altcoins?
The figures suggest that although XRP has been among the standouts, most of the altcoins are struggling to keep pace with the dominance of Bitcoin.
If the BTC ratio is on the road to recovery, we should hope to experience renewed interest in mid-cap and smaller tokens, but currently, Bitcoin appears to be leading the charge in this cycle.
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