XRP is emerging as a standout performer in the current crypto market landscape. According to a recent report by Bybit, XRP holdings have more than doubled over the past six months, rising from 1.29% to 2.42% of platform assets between November 2024 and May 2025. This rise coincides with a 338% price surge, climbing from $0.50 to $2.19, even as Bitcoin dominance reached 65.3% due to mounting geopolitical tensions.
Legal Easing Sparks Confidence
One of the biggest drivers behind XRP’s growth is the easing of regulatory pressure. The long-standing legal battle between Ripple Labs and the U.S. SEC has seen signs of de-escalation, boosting investor confidence. Retail and institutional players alike are regaining interest in XRP, seeing it as a legitimate large-cap alternative to Bitcoin and Ethereum.
XRP ETF Approval Hopes Rising
Adding to the momentum is speculation about a potential XRP spot ETF approval in 2025. Polymarket prediction odds place the chance at 85%, while Bloomberg analyst James Seyffart raises that to 95%, signaling a strong belief in regulatory traction. Although President Trump’s past comments about XRP becoming part of the U.S. crypto reserve didn’t materialize, they contributed to growing retail hype.
Bitcoin Still Leads Institutional Portfolios
Despite XRP’s rise, Bitcoin remains dominant, accounting for 30.95% of user-held assets on Bybit. ETH continues to decline in market share, and the ratio of BTC to ETH holdings is currently 4:1. Bitcoin’s overall market dominance rose from 53.2% to 64% year-over-year, underscoring institutional preference for the most established assets.
Institutions are especially risk-averse. In May 2025, they held twice as much BTC and ETH compared to retail traders, highlighting their focus on regulated, high-cap tokens.
Altseason Postponed or Cancelled?
While XRP’s outlook is strong, altcoins as a whole are underperforming. The Altcoin Season Index fell to 12, its lowest in two years. Retail interest in smaller-cap coins dropped from 35.2% to 23.5%, with only meme coins and select DeFi tokens showing relative resilience. AI tokens, GameFi, and NFTs have seen declining momentum, leaving many to question if the 2025 altseason is effectively canceled.
Conclusion
XRP’s rise on Bybit, fueled by ETF speculation, legal clarity, and strong retail accumulation, marks it as a key altcoin to watch in 2025. However, the broader altcoin market faces headwinds as institutions continue to concentrate capital into Bitcoin, Ethereum, and now XRP — delaying the traditional altseason narrative.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.