Which altcoins are better buys?

XRP drops 19% this week, down 33% from January highs, as $23.61m in longs liquidate.

XRP has plummeted 19% this week and is down 33% from its January high, although it has managed to hold above the crucial $2 level so far.

While XRP is not alone,  the broader crypto market is experiencing significant losses; data shows that the bears are firmly in control, with $23.61 million in XRP long positions liquidated on Sunday alone.

This XRP price analysis explores whether investors should buy the dip or consider promising alternatives like Solaxy, Cardano, and Hedera instead.

Trump makes plans but bears take control

Market sentiment has turned heavily bearish for XRP, with Coinglass reporting more than $375 million in open short interest compared to just $125 million in open long interest.

Liquidations on Sunday, March 9, tell the same story. $23.61 million in longs were liquidated versus only $3.94 million in shorts, indicating that bears and XRP sellers dominate the market in the short term.

The initial excitement from Donald Trump’s announcement of a strategic crypto reserve does not appear to be working, especially after crypto czar David Sacks clarified that only Bitcoin would be purchased.

That means altcoins like XRP, Cardano, and Solana would only be added from seizures of illicit activities, as Sacks emphasized that the government has no plans to invest in these altcoins directly.

These announcements appear to have crushed XRP’s short-term momentum and contributed to its recent decline, though it’s worth noting that XRP continues to defend key price levels around $2.

Key price levels show conflicting signals for XRP’s future

Analyst Solberg Invest identifies the $2 level as a crucial line for XRP and suggests increased trading activity at this zone could spark a rally toward $4.4. This optimistic outlook stands in stark contrast to the current fundamental picture facing XRP in the market.

On the bearish side, analysts like Crypto Anbu have noted a head-and-shoulders pattern forming on XRP’s chart, which could result in a significant retracement to $1.5 or lower if the $2 support level breaks.

These two contrasting outlooks highlight how the $2 price point has become the key determinant for XRP’s future direction. With XRP’s elevated market cap as the third most valuable cryptocurrency, only trailing behind Bitcoin and Ethereum, its upside potential may be limited, while downside risks remain substantial for traders looking to capitalize on the dip.

Other cryptocurrencies offer compelling investment opportunities

One of the major risks of investing in XRP is its already large market cap of $126 billion. As the third-ranked cryptocurrency, its growth potential faces natural limitations compared to smaller-cap alternatives that could offer better risk-to-reward ratios.

Cardano presents an alternative that could outperform XRP in the coming months. This layer 1 blockchain focuses on scalability, security, and decentralized governance, and has been making recent waves in the crypto community.

The ecosystem is seeing rapid growth, exemplified by Midnight, the Cardano-based project that reached a high-profile partnership with OpenZeppelin.

With a market cap of $26 billion, approximately 20% of XRP’s valuation, Cardano may offer more room for growth.

Hedera is another promising XRP alternative with a much lower market cap of $8.8 billion. This scalable Layer 1 blockchain focuses on fast, secure, and energy-efficient transactions with smart contract functionality.

The project recently announced a strategic partnership with the global payments network SWIFT, which demonstrates its ability to operate at the highest levels of traditional finance.

Solaxy presale gains momentum as investors seek growth alternatives

One intriguing alternative to XRP is Solaxy, which is currently raising funds through a presale that has already secured an impressive $25 million.

As the world’s first Solana Layer 2 blockchain, Solaxy promises faster, cheaper, and more reliable transactions than Solana’s layer 1, improving the user experience and opening the platform to new use cases.

Compared to XRP’s $126 billion valuation or Solana’s $64 billion market cap, Solaxy has massive room for growth. The project is attracting quick investor interest, partly due to its generous staking APY of over 150%.

Many early investors predict potential returns ranging from 10x to 50x on their initial investment, making it a compelling option for those looking beyond established cryptocurrencies like XRP.

Don’t miss out on this opportunity! Learn more about Solaxy’s presale before it ends and join the thousands of investors already positioned for potential growth.

For more information, visit the Solaxy presale website.