Bitcoin Dominance Declines as XRP Victory Fuels Speculation of an ‘Altcoin Season’

Bitcoin’s dominance in the cryptocurrency market has experienced a decline following Ripple’s recent legal win against the United States Securities and Exchange Commission (SEC). The surge in altcoin prices briefly pushed Bitcoin dominance below the 50% threshold.

According to Tradingview, Bitcoin dominance dropped to 49.76% during Asian trading on July 14. This comes after Bitcoin’s market dominance had been hovering around 51% to 52% for the past 24 days, following a two-year period of hovering below the 50% mark.

The decrease in Bitcoin dominance has sparked discussions about the resurgence of an “altcoin season,” a period in which alternative cryptocurrencies outperform Bitcoin.

Ripple’s court victory had a significant impact, propelling the XRP token to surge by 83% and briefly become the fourth-largest cryptocurrency by market capitalization. It currently holds the fifth position after a brief battle with Binance Coin (BNB).

The altcoin rally extended beyond XRP, with several other cryptocurrencies that have been subject to SEC scrutiny experiencing double-digit gains. Ethereum rose by 8% to surpass $2,000 for the first time in three months, while Cardano (ADA) surged by an impressive 25% to reach $0.357. Solana (SOL), another token classified as a security by the SEC, increased by 34% to reach $29, and Polygon (MATIC) witnessed a 20% surge, trading at $0.854. Stellar Lumens (XLM), a payments network developed as a fork of Ripple, also saw a significant increase of over 50%.

However, the sustainability of this altcoin rally remains uncertain, as the overall market still appears to be range-bound in the longer term.

At the time of writing, Bitcoin dominance has slightly recovered to around 50.11%, just above its 50-day moving average. While Bitcoin experienced a modest 3.5% daily gain to reach $31,686, it was outperformed by several altcoins during this period of market volatility.

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