On a tranquil Sunday, Bitcoin maintains its level around $96,500, while altcoins struggle to showcase significant growth. Ethereum remains stagnant at $3,200, whereas LINK Coin slightly rises to $14.47. After enduring a turbulent week, the crypto markets brace for incoming data and announcements that may trigger volatility in the coming week. The central question persists: which altcoin will emerge as the third best in the long term?
SOL and XRP Coin
Bitcoin and Ethereum dominate the portfolios of cryptocurrency investors. Many professional portfolios are comprised almost entirely of these two assets. Confident in their longevity, investors are starting to question the logic of diverting more capital into altcoins over the years. This trend is particularly pronounced among professional investors.
Due to this prevailing sentiment, BlackRock refrains from filing ETF applications for altcoins aside from Ether. Despite intense competition among other asset management firms, they prefer to stay cautious, often stating they do not sense interest from clients in altcoins other than ETH.
According to Anthony Bassili, president of Coinbase Asset Management, the intense competition to determine the third-largest cryptocurrency after BTC and ETH continues, with Solana (SOL) and Ripple (XRP) actively participating in this race.
The market is indecisive about which asset to consider as the third one after BTC and ETH.
Bassili suggests that Solana might have better chances in this pursuit.
XRP Coin’s Future
Based on CoinShares data, BTC, ETH, SOL, and XRP Coin are the top recipients of investments through ETFs and ETPs from institutional and professional investors this year. Other altcoins saw significantly lower investment inflows. Based on these entries, one could argue that Solana stands as the most appealing third-largest altcoin prospect.
XRP Coin might hold the fourth position, but Bassili emphasizes the necessity for them to resolve several issues. The XRP Ledger must be tailored to the market, improve network speed, and integrate the liquidity ecosystem. Although RLUSD’s potential rose to a $1 billion supply, far more growth is required.
Significant steps, like acquiring Hidden Road and transforming it into Ripple Prime, stablecoin issuance, broker-dealer purchases, and treasury company investments for institutions have emerged post-lawsuit conclusion. The company seems prepared for the looming multi-billion-dollar penalty from the SEC and is channeling resources into investments.
They’re taking all the right steps. The question is, does the market consider them ready to become the next best fourth asset?
Bassili noted how markets might not price assets correctly, as they attempt to become more realistic.