XRP news today: Bitcoin, XRP Gain While Ethereum, Dogecoin Struggle, Grayscale Reports
1min read Bitcoin and XRP have shown significant gains, while Ethereum and Dogecoin have struggled, impacting the performance of Grayscale portfolios over the year. Memecoins, including Dogecoin, have lost their appeal, with the sector declining by 44.3% year-to-date.
The crypto market has regained momentum after a prolonged downtrend, with its valuation reaching $2.96 trillion, just $40 billion shy of its previous peak of $3 trillion. Key crypto assets such as Bitcoin, Ethereum, Ripple, and Dogecoin have maintained their market positions, contributing to the market’s growth. However, Grayscale, an institutional investment platform, revealed that only a few of these top assets have been profitable.
A recent report comparing several of Grayscale’s crypto holdings shows that Bitcoin and XRP have turned a profit, while Ethereum and Dogecoin have contributed to losses. Ethereum and Dogecoin slumped by 47% and 42.2%, respectively, over the past year. In contrast, Bitcoin and XRP delivered gains of 0.4% and 6.1%, cementing their positions as top performers.
Ask Aime: "Which crypto assets have performed well, and what impact have they had on Grayscale portfolios?"
This type of market sentiment often dictates potential market movements, as retail and other institutional investors use it as a guide to decide where to channel their next investments. Bitcoin has remained a major point of attraction in the crypto market, drawing heightened institutional interest, particularly following the approval of Spot Bitcoin Exchange-Traded Funds (ETFs).
Following the inauguration, discussions around a federal Bitcoin strategic reserve resurfaced, further fueling institutional appetite. For XRP, its growth has been influenced by the team’s approach to reaching a settlement with the U.S. Securities and Exchange Commission (SEC) over a years-long legal battle on whether XRP is a security. Ripple’s focus on growth, including the launch of its own stablecoin, as well as several acquisitions and partnerships, has played a significant role in its market rally.
However, Ethereum failed to keep pace. Ethereum, the second-most valuable crypto asset, has underperformed. Although it showed positive growth in the past, it has recently lost appeal among investors. The ETH/BTC chart, which tracks liquidity inflow and outflow between the two assets, shows that Ethereum has recorded significantly less liquidity compared to Bitcoin, with its dominance dropping 70% since January 2024.
On top of that, memecoins like Dogecoin struggled to attract new capital. The memecoin sector shrank by 44.3% year-to-date as investors fled toward more stable assets. The overall memecoin market has declined by 44.3% year-to-date, as investors have shifted to either stable assets or other cryptocurrencies.
