Despite Both Coins Suffering Losses, Ripple (XRP) Overtakes Ethereum (ETH) to Capture Second Spot
Amidst a bearish turn in the market, XRP has overtaken ETH to capture the second position in the crypto industry. XRP trails the only bitcoin in terms of overall market cap among cryptocurrencies.
For the last few years, ETH has held a comfortable spot as the second largest cryptocurrency in the world by market cap. In recent months, however, XRP has increasingly challenged ETH for that second position, passing it several times.
In the last month, ETH regained its second position and passed XRP as the second largest cryptocurrency by market cap, although the lead was never that big.
Today, things have changed once again, and XRP is narrowly edging ETH as the world’s second largest cryptocurrency.
As we go to press, XRP is sitting at a price of $0.328 while ETH sits at $127.73. XRP has a market cap of $13.457 billion while ETH sits with a market cap of $13.322 billion. It’s close – but XRP is firmly ahead.
BTC, meanwhile, retains its significant lead over the competition with a market cap of $64 billion.
ETH shows no signs of dropping into fourth place by market cap. The fourth largest cryptocurrency by market cap, Bitcoin Cash (BCH), has a market cap of $2.354 billion with a price of $134.
In other words, this continues to be a two-horse race for second place in the crypto community.
The reason for XRP’s sudden surge is simple: cryptocurrency prices suddenly plummeted this morning, but XRP didn’t plummet as much as other cryptocurrencies.
Bitcoin, for example, is down 8.81% over the last 24 hours. ETH, BCH, and EOS all lost over 15%.
XRP, meanwhile, has lost “only” 10.52%. Because XRP lost less of its value than the surrounding cryptocurrencies, XRP has managed to slide into second place.
What’s Next For XRP And ETH?
XRP continues to be one of the bright spots for the crypto space amidst this ongoing bear market. XRP’s largest token holder, Ripple, continues to create new banking partnerships. Some of these partner banks use Ripple’s homegrown blockchain technology that exists separately from XRP. Other partner banks are already using XRP as an international form of payment transfer.
This past week, Ripple announced that it had surpassed 200 partners. This may be one reason why the price of XRP did not slip as much as other cryptocurrencies.
Moving forward, ETH holders have plenty to look forward to. The much-anticipated Constantinople upgrade is expected to be activated via hard fork next week. Some believe that a hard fork is a net positive for Ethereum and the crypto community. Contrarians, however, are arguing that the upgrade could not have come at a worse time, as reported by NewsBTC:
“Since the Ethereum Constantinople’s activation date was confirmed, a mass of leading crypto researchers, analysts, and commentators have claimed that the pertinent blockchain upgrade is a net positive for this industry. However, a deep-dive, research-backed exposé from an industry insider has gone against popular belief, claiming that Constantinople “couldn’t come at a worse time.”
Ultimately, XRP has surpassed ETH as the world’s second largest cryptocurrency by market cap. Will XRP hold onto this position for more than a week or two this time? Is this shift in crypto power dynamics here to stay? Or will ETH retake its position as the world’s second largest cryptocurrency within the coming days?