‘Altcoin season’ anyone? Bitcoin’s Dominance Drops After XRP’s Victory

Bitcoin (BTC) dominance declines following Ripple’s partial victory against the United States Securities and Exchange Commission, briefly dropping BTC dominance below 50% due to a surge in altcoin prices.

According to TradingView, bitcoin dominance – a measure of bitcoin’s share of the total crypto market cap – fell to 49.76% during Asian trading on July 14.

A few weeks ago, amid a spate of applications for spot bitcoin ETFs from major financial firms, BTC market dominance finally managed to reach above 50% after a two-year dry spell. Over the past 24 days, bitcoin dominance has hovered around 51% and 52%.

The recent decline in bitcoin dominance comes as the crypto community is hailing the return of “altcoin season”.

Buoyed by Ripple’s court victory, the XRP token surged 83% to an intraday high of $0.866, briefly becoming the fourth largest crypto asset by market capitalization. It is currently ranked 5th after a dispute with Binance Coin (BNB).

altcoin season

– Carl From The Moon (@TheMoonCarl) 13 July 2023

The move was also noticed by members of the crypto community who were enthusiastically celebrating Ripple’s victory.

Several altcoins reported as securities by the SEC posted double-digit increases on July 14.

XRP has not been declared a security.

Dominance of bitcoin: pic.twitter.com/veZDJTHQlu

— Will Clemente (@WClementIII) 13 July 2023

Ethereum (ETH) surged an impressive 8% to top $2,000 for the first time in three months, while Cardano (ada) has gained a whopping 25% to reach $0.357 at the time of writing.

Solana (SOL), another token considered a security by the SEC, was up 34% to $29 at the time of writing. Meanwhile, Polygon (MATIC) was trading up 20% at $0.854.

Payments network Stellar Lumens (XLM), which launched in 2015 as a fork of the Ripple codebase, cranked up more than 50% on the news.

Connected: Which Altcoins Will Avoid SEC Action? Bitcoin OG Explains

However, it remains to be seen whether this altcoin rally is sustainable as the long-term view still shows that the crypto markets are range bound.

At the time of writing, BTC dominance is back around 50.11%, just above its 50-day moving average. The asset only gained 3.5% daily to reach $31,686 and outperformed its altcoin brethren.

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