- Will XRP overturn Bitcoin? The price of the former has surged more than 17% in the last 24 hours.
- Current trends show it is the highest in six years.
As the cryptocurrency market continues to heat up, XRP is showing significant strength, with its price surging to $2.31 and on-chain activity hitting new highs.
Conversations about whether XRP can challenge Bitcoin (BTC)’s dominance this cycle are gaining momentum thanks to bullish price action and increasing market activity.
But can XRP really overturn Bitcoin, or is this just speculative hype?
Can XRP overturn Bitcoin?
Ripple charts have shown a strong rally in recent weeks, with XRP breaking through several resistance levels and trading at $2.31.
The 200-day moving average (MA) is $0.62 and the 50-day MA is $0.87, confirming a bullish crossover, indicating a continued upward trend.
Moving Average Convergence Divergence (MACD) reflected this momentum, with the MACD line sitting well above the signal line at 0.36.
However, a relative strength index (RSI) of 93 indicates that XRP is overbought at press time, meaning a short-term correction is possible before further upside.
Source: TradingView
AMBCrypto also noted that the correlation coefficient (CC) between XRP/USD and Bitcoin/USD is 0.66.
XRP and Bitcoin are currently moving in the same direction, but the difference in momentum indicates that XRP could split from Bitcoin, which could be very important for a potential “flip.”
Bitcoin dominance and trading volume
Bitcoin’s dominance fell from 58.9% to 55.7% last month, signaling a resurgence in altcoins led by XRP, according to an AMBCrypto analysis of CoinMarketCap data.
Historically, Bitcoin dominance tends to decline during bull cycles as liquidity shifts to altcoins, allowing projects like XRP to gain market share.
Source: CoinMarketCap
However, Bitcoin still has much higher trading volume than XRP. Trading volume for the latter surged to $8.8 billion on December 1, the highest in several months.
However, despite the surge, it did not reach the $13.25 billion recorded by BTC. At the time of writing, Bitcoin’s trading volume reached $7.95 billion, while XRP’s trading volume reached $2.42 billion.
Source: Santiment
XRP Network Activity Shows Growth
Despite Bitcoin’s dominance in trading volume, XRP’s on-chain activity has surged. Daily active addresses on the XRP Ledger have seen significant spikes, indicating increased network participation and usage.
Realistic or not, the XRP market cap in terms of BTC is:
Market sentiment towards XRP is overwhelmingly positive and mentions and discussions on social media are trending upward.
However, for a true Bitcoin upset, these indicators need to be able to see more spikes and maintain momentum. Kingcoin is still dominant and XRP is still one of the challengers.