A crypto expert, Dark Defender, on X (formerly Twitter), has analyzed the key metric that is holding the price of XRP from undergoing a dramatic rally. His analysis directly linked XRP’s upward movement with Bitcoin’s dominance. According to him, the XRP bull run starts when Bitcoin’s dominance declines. Dark Defender backed his analysis with historical movements from 2017 and 2021.
In early 2017, the flagship cryptocurrency Bitcoin, held most of the crypto market share, dominating at about 96.25%. At the time, most investor’s attention was directed toward the leading crypto. However, things took a different turn in March of the same year when BTC’s dominance began to drop. This decline created an opportunity for XRP to begin its bull run. Consequently, XRP rocketed by over 280% in March. The rally paved the way for XRP to reach its all-time high in January 2018 when it touched $3.40. At the time, Bitcoin’s dominance had dropped significantly to 35%.
Source: Dark Defender/X
In the year that followed, Bitcoin’s dominance began to increase, leading to notable declines in the XRP price as well as other notable altcoins. In 2021, Bitcoin’s dominance had reached 70% before it took a nosedive and dropped, leading to another XRP rally that pushed the price to $1.96. In his tweet, Dark Defender noted that this pattern is repeating itself and an XRP bull run is imminent. According to on-chain data, Bitcoin’s market dominance is currently at 58.71%.
Advertisement
Victor Swaezy
Victor Swaezy is a crypto-journalist with more than 3 years of experience in covering blockchain technology and digital currencies news. Known for his comprehensive reporting, Victor has contributed to leading industry publications such as Coinfomania and Crypto News Guru, providing market participants with the required knowledge to make informed decisions. When he is not working, he loves to watch movies and have a good time.