Cryptos Sliding Out of the Top Race, These Altcoins are Taking the Place of Top Cryptos

July 8, 2020 Editor Altcoin 0

The stock market is flying.

Today, Nasdaq Composite is on pace for another all-time high after setting a new peak yesterday, led by major tech shares such as Microsoft and Apple.

While the S&P 500 is flatline and the Dow dropped 0.7%, tech-heavy Nasdaq gained 0.6%.

But it’s not only the stocks that are surging, but digital assets are also on a tear too, many tokens are gaining 50%-1,000% since the lows in March.

It’s those tokens that are issued by companies that are “beginning to achieve real product market fit,” said Jeff Dorman, Chief Investment Officer at Los Angeles-based money manager Arca.

If we take a look at the top cryptos like Bitcoin, Ethereum, and XRP, it is hard to see, but the crypto market is seeing its very own fireworks.

The Movers & Shakers

In 2020 so far, the DeFi project Aave has surged over 2,100% and Kyber Network 815%. Other known big winners are Bancor (490%), REN (468%), Loopring (342%), Zilliqa (328%), ERD (320%), DigiByte (298%), and Cardano (240%).

Now coming onto the coins that are slowly losing their place are:

XRP, the worst performer of 2020, has already fallen one place below to 4th position.

At the beginning of 2020, Litecoin was at 6th place, EOS 7th, Monero 10th, and Stellar 11th, which have now declined to 8th, 11th, 16th, and 17th place respectively.

Left: Crypto market as of January 4th, 2020, Right: Crypto market as of July 5th, 2020

But today, these positions are captured by other coins. At 6th place, the new crypto is Cardano, which is yet again surging today by 17% and, in anticipation of its Shelley mainnet launch in the coming months, has climbed over 400% since March lows.

IOHK USA, the company behind Cardano, also received a PPP loan between $350K and $1 million.

Chainlink, which continues to make new all-time highs, the latest one is $5.68 at the time of writing, which captured 12th spot, up from 20th rank on January 4th, 2020.

From the 27th spot, Crypto.com Coin has climbed to 10th place, which is up 300% YTD.

Altcoin Season or Extinction

The top cryptos might not be ready yet but still, Bitcoin ended the second quarter better than other traditional assets with 42% gains.

The lack of activity in Bitcoin is actually good for altcoins and its dominance has already been falling since May when it was near 70%.

The DeFi boom is also helping Ethereum, at least in terms of network activity. And it is possible, ETH won’t outperform until the DeFi cycle ends because “new money coming in will have missed the 10-50x returns, see that eth has still trended relatively flat, and buy eth instead as it’s a safer & simpler,” said analyst Ceteris Paribus.

According to trader Crypto Wolf, “ETH is building it’s momentum. We can notice a series of S/R flip, imo this is very bullish as we are building the bases for a parabolic scheme.”

Even XRP may soon see some movement.

However, when this altcoin movement stops, it would be the time for Bitcoin to get on a bull ride. Currently, its implied volatility is at its lowest since March 31, 2019, and realized volatility is at its lowest since April 1st, 2019. So, the leading cryptocurrency may get to see some volatility soon too.