XRP is suffering currently, even while Bitcoin trades well above its former all-time high. The reason for the altcoin’s struggles is due to the SEC slapping the coin’s parent company and its top executives with a lawsuit.
The crypto community has been quick to point the finger to laugh, despite its dangerous implications for the greater industry. Others call for the token to collapse to near zero, but one trader says that XRP will soar again someday regardless of the situation with the SEC. Here’s why.
XRP Could Recover With Next Altcoin Season, Trader Claims
Bitcoin is trading at well over $28,000 as 2020 comes to a close. Crypto investors have long been salivating not just over the top-ranked asset by market cap reaching a new all-time high, but for the “alt season” that was expected to arrive soon after.
During the last market cycle, as soon as Bitcoin’s bull market was confirmed with a new high over the 2013 peak, altcoins skyrocketed in value.
Bitcoin regained the center stage once again as the asset went fully parabolic, and made mainstream media headlines in 2017. Again, the asset peaked, and the altcoin season that arrived right after was the stuff legends are made of. Ethereum spiked to over $1,400 and XRP to more than $3 per token.
Then, even “abandoned coins” exploded by 100,000% in weeks, including projects with no working product, no teams, no social footprint, or worse. Even outright scams like Bitconnect ballooned in price as dumb money came pouring in.
The SEC lawsuit has not been friendly to XRP | XRPUSD on CoinPrice.Watch
This time around, dumb money has yet to pour in and the capital that is coming in is institutional money focused on Bitcoin alone. Altcoins aside from maybe Ethereum and DeFi tokens have basically been ignored.
Related Reading | Bitcoin Dominance Doji: Why 2021 Could Spell Doom For Altcoins
For now, Bitcoin dominance could be signaling that altcoins are doomed in general, so there’s a chance that the altcoin season this trader is calling for never actually arrives, leaving XRP and others to die a slow death in the wake of Bitcoin’s next bull run.
Featured image from Deposit Photos, Charts from CoinPrice.Watch