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XRP Surges Amid Shift in Investor Sentiment, As Solana Observes Decline
Recent data from Bybit reveals a significant shift in the cryptocurrency landscape, with XRP holders nearly doubling between October 2024 and May 2025. In contrast, the number of Solana holders has plummeted by 35% during the same timeframe.
Key Highlights:
- Holders: XRP’s holder percentage rose from 1.29% to 2.42%, while Solana decreased from 2.72% to 1.76%.
- Price Spike: XRP’s price hit a notable US$3.31 (AU$5.08) in January 2025, primarily due to enthusiastic sentiments surrounding exchange-traded funds (ETFs).
- Allocation Shifts: XRP’s allocation peaked at 5% in January before settling back to 2.42% by May, attributed to an institutional rotation from Solana.
XRP’s Emergence in the Altcoin Space
XRP has become a prominent player in altcoins as growing investor confidence drives a reshuffling of portfolios. The increase in XRP holders underscores a marked preference for this cryptocurrency, primarily influenced by positive developments in its legal battle with the U.S. Securities and Exchange Commission (SEC) and the hopeful anticipation of a spot ETF approval linked to XRP.
XRP ascended to claim the position of the third-largest cryptocurrency by market capitalisation in November 2024, outpacing Solana. The peak price of $3.31 in January 2025 marked a resurgence for XRP, reminiscent of its all-time high achieved back in 2018.
Volatility and Investor Sentiment
Despite the positive growth in XRP’s holder numbers, the altcoin experienced volatility. After peaking at a 5% allocation in January, it returned to 2.42% by May 2025, indicating a fluctuating investor sentiment. The ongoing legal proceedings with the SEC seem to bolster confidence among XRP holders, suggesting a resolution may be on the horizon.
Institutional Movements and Future Outlook
Bybit’s report notes a noticeable shift of capital from Solana to XRP among institutional investors. This move is largely driven by expectations that XRP could secure ETF approval ahead of Solana. With over 2,700 large wallets identified in June 2025, there is growing evidence of significant whale activity, a sign of strengthening confidence in XRP.
Additionally, the broader market reaction towards altcoin ETFs could be contributing to XRP’s upward momentum. Analysts foresee multiple altcoin ETFs, including XRP, receiving regulatory approval by late 2025, which may further consolidate its place in the market.
Conclusion
Overall, the shift in investor sentiment towards XRP signifies a robust opportunity amidst a changing cryptocurrency landscape, while Solana’s decline raises questions regarding its future viability. With anticipation building around regulatory decisions and ETF approvals, XRP appears poised for continued interest from both retail and institutional investors alike.
Related Articles:
- Crypto ETFs Set New Record at $62.9 Billion After Four Consecutive Weeks of Inflows.
- XAO DAO Pioneers New Decentralised Governance Era on the XRP Ledger.
