According to market data, the price of XRP has skyrocketed significantly and could rise by 10x to 500x during the upcoming altcoin season.
This data comes from two charts shared by Kevin Cage, a prominent market analyst and advisor at Iron Key Capital. These observations come from historical patterns that correlate Bitcoin’s dominance in the market with XRP’s performance during previous bull markets.
Consistency of XRP and Bitcoin advantages
In particular, XRP has consistently shown strong gains during altcoin seasons, when Bitcoin’s dominance declines and allows altcoins to soar. Two of the most notable cases occurred during the 2017 and 2021 bull markets.
Bitcoin’s dominance in the crypto market could be important in determining the performance of altcoins like XRP as Bitcoin’s share of the market shrinks and altcoins rise. XRP is often one of the biggest beneficiaries.
Cage’s chart confirms that XRP soared more than 500 times during the 2017 alternatives season, rising from $0.006 to a peak of $3.50 by January 2018. This spike coincided with a sharp decline in Bitcoin’s market capitalization, dropping from 95.91% to approximately 35.46%. % during the same period.
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Kevin Cage from X
Meanwhile, in 2021, XRP made another big leap forward despite facing major legal challenges from the SEC and delisting from multiple exchanges. Recall that the US SEC indicted Ripple and its executives in December 2020 for XRP being an unregistered security.
Despite these setbacks, XRP still rose 10x, rising from $0.18 to $1.96. Similar to 2017, this price increase came as Bitcoin’s market power plummeted from 73.51% to 39.54% in a matter of months.
Will history repeat itself?
Currently, the charts show that the market may be entering a new alternative season, despite Bitcoin’s recent surge in dominance. Notably, BTC’s dominance is currently around 58.95%, and XRP could experience a significant rally if it starts to fall again, similar to previous cycles.
If XRP follows the 2017 pattern of a 500x increase, the price could skyrocket from its current level of around $0.55 to as much as $275. Alternatively, even if XRP were to repeat its more modest performance of 10x increase in 2021, the price would still reach around $5.47.
The chart suggests that conditions are forming for another alt season, and history shows that XRP tends to perform well during these periods. However, if this pattern repeats, the exact magnitude of the rise is uncertain.
XRP may still have to deal with persistent legal pressure, as the SEC recently filed a notice of appeal in the Ripple case and the litigation could be lengthy. If pressure leads to further restraint, a modest 10x rally could occur, but it would still lead to new all-time highs above $5.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the personal opinions of the author and do not reflect the opinions of The Crypto Basic. We encourage our readers to conduct thorough research before making any investment decisions. Crypto Basic is not responsible for any financial losses.
