XRP and Binance Coin (BNB) have largely de-collerated from Bitcoin (BTC) over the past 60 days, with XRP looking primed to overtake BNB in market cap over a 6% rally.
Being the most dominant asset in the crypto market, Bitcoin has continued to determine the overall direction of the broader market. However, over the past 60 days, several altcoins reduced their correlation with the price of the firstborn crypto, with XRP and BNB among the top.
CryptoBusy, a notable crypto-focused YouTube channel, revealed this trend in a post yesterday. Citing data from the market analytics tool Kaiko, CryptoBusy highlighted the correlation rates that eight of the most prominent altcoins currently have with Bitcoin.
Data confirms that XRP has recorded the biggest drop in correlation with Bitcoin. Interestingly, XRP’s correlation with BTC’s price movements dropped from above 70% to nearly 40% within the highlighted timeframe. As a result, XRP stands as the asset with the largest price action independence among the most prominent altcoins.
After XRP, BNB recorded the second-largest drop in BTC price correlation. According to data from Kaiko, BNB’s price correlation with BTC collapsed from 80% to 60% within the same period. Avalanche (AVAX) also recorded a similar drop, but not as much as BNB. On the other hand, ADA and ETH have the biggest correlations with BTC’s price.
XRP Looking to Overtake BNB
Meanwhile, amid the XRP and BNB de-correlation moves, XRP has vastly outperformed BNB over the past few days. It bears mentioning that XRP sits immediately below BNB on the list of crypto assets with the largest market caps, securing 5th while BNB holds 4th.
BNB boasts a market cap of $34,264,551,029 ($34.264 billion). However, XRP’s market cap was $32,278,799,372 ($32.278 billion) at the time of reporting. Despite sitting below BNB, XRP commands more prominence and utility than the Binance-affiliated token.
As a result, some XRP community figures have argued that XRP deserves to become the third largest crypto asset besides stablecoins and the fourth largest, including stablecoins. XRP had previously secured this spot but relinquished it due to occasional price drops.
XRP overtook BNB in market cap on July 13 when it rallied to a high of $0.93 upon the favorable ruling in the Ripple case. XRP’s market capitalization soared to $42,842,606,761 ($42.842 billion) that day, while BNB’s market cap steadied at $39,973,699,059 ($39.973 billion).
However, XRP dropped from the position amid an ensuing retracement. XRP’s recent recovery campaign has pushed its market cap as it gains on BNB. The asset again overtook BNB earlier this month but summarily dropped. XRP’s current valuation of $32.278 billion means the asset is only $1.987 billion away from overtaking BNB.
This would put XRP’s market cap at $34.265 billion, slightly above BNB’s. XRP would need to rally to $0.6367 to attain this market cap. At its current price of $0.5983, XRP must surge 6.38% to hit this price target. Analysts believe this is readily achievable.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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