Can XRP potentially bridge the performance gap with Solana?
Solana Outperforms XRP in Relative Strength, Nearly Doubling in Value
Over the past two months, Solana (SOL) has significantly outperformed XRP in the cryptocurrency market. As of press time, SOL's value has nearly doubled, up approximately 90%, whereas XRP holders have seen a 46.5% return on investment (ROI).
The SOL/XRP trading pair's ratio has jumped almost 40% to reach $76.01, indicating that it takes 76.01 XRP to buy one SOL at the current exchange rate. This trend has attracted more users toward Solana, with the number of daily active addresses on Solana's network increasing by nearly 12% monthly, while XRP's has decreased by 6.8%.
Recently, the pair has encountered a familiar technical barrier, hinting at a potential resistance level on the charts. In mid-February, XRP reached $2.34 before experiencing a 21% surge in a week to $2.83 on 15 February. This surge was followed by a 25% decline in the SOL/XRP ratio within ten days.
The question remains as to whether Solana's undervaluation triggered capital inflows into XRP or if XRP's own buying pressure and market strength played a more significant role in driving the breakout independently.
A Look Back at Solana's Q1 Woes and XRP's Relative Strength
Entering Q2, Solana was attempting to recover from a disappointing Q1, during which it was labeled as the "worst-performing asset" among high-cap cryptocurrencies. SOL plummeted to a multi-year low of $95 on 8 April, marking a 35% decline from its opening price of $190. In contrast, XRP closed Q1 with modest 2.45% gains from $2.08.
A closer look shows that XRP benefited from the rotation as traders sought safer investments. Solana's oversold state, however, did create the opportunity for a strong comeback. Midway through Q2, SOL has already surged by nearly 90%.
Open Interest (OI) data supports this resurgence, with SOL's OI increasing by 4.45% to $7.4 billion, signaling strong market conviction. In contrast, XRP's OI lagged behind at 2.01%. If this trend continues, Solana may maintain its lead in the race for investor attention.
A Possible Reset for XRP and the Next Move
History suggests that a dip can set the stage for a fresh rally. XRP might need a slight correction to shake off some overvaluation and attract new investors. With this in mind, XRP's next move could hinge on hitting that reset button first.
Background information suggests that XRP's relative strength in Q1 2025 was primarily driven by its own increasing buying pressure and strong network growth, coupled with robust user activity and improved regulatory clarity. Solana's performance during the same period appears to have been influenced more by broader market conditions and ecosystem development timelines, rather than XRP's performance. (Enrichment data points 2, 3, and 4)
In contrast to Solana's stumble in Q1 2025, XRP displayed a remarkable strength, with increases in buying pressure, network growth, user activity, and improved regulatory clarity contributing to its gains. Interestingly, Solana's performance seemed to be influenced more by broader market conditions and ecosystem development timelines, rather than XRP's success.
Despite Solana's impressive Q2 rally, with its value nearly doubling, the SOL/XRP trading pair's ratio still indicates that it takes almost 76 XRP to purchase one Solana, highlighting a potential resistance level on the charts that XRP may need to overcome for a more significant shift in the relationship between the two cryptocurrencies.
![Upgraded Boost for Failing Appliances: Discover a Remarkable Hack by [solopilot] That Transforms...](/en/img/2025/05/31/1701494/jpeg/4-3/1200/75/image-description.webp)
