This has been a strange year for the crypto market. Wasn’t 2025 supposed to have skyrocketed value for money, supported by all the pro-crypto optimism surrounding the Trump administration? Instead, there are actually only a handful of the top 20 cryptocurrencies of the year (ranked by market capitalization).
The two that stand out are XRP (Cryptography: XRP) and litecoin (Cryptography: LTC). XRP is up 24% per year, while Litecoin is up 20% per year. By comparison, Bitcoin is only up 2% per year. That’s extraordinary considering that Bitcoin historically leads the market higher. So how long can XRP and Litecoin maintain momentum?
Let’s start with XRP, which stands out as a clear winner in Crypto Market. This is the best performance massive, massive cap code of 2025, with 400% turning their heads for the past three months.
There is good reason for this epic performance, and it relates to the Trump administration’s procrypt, business approach. Remember: Ripple, the company behind XRP Crypto Token, has been facing regulatory questions regarding the XRP situation for over four years. The Securities and Exchange Commission lawsuit filed against Ripple has been underway since December 2020.
So the idea here is that all of these regulations headaches will disappear in 2025. Paul Atkins, the newly appointed pro-cryptic prime minister of the SEC, is able to complete the case. Additionally, Crypto’s new regulatory framework makes Ripple easier to return to business as usual. Of course, all of these portrayals of XRP, the crypto token that drives Ripple’s blockchain-based payment operations.
Image source: Getty Images.
XRP also has a second major catalyst. This is the expected approval for the Spot XRP ETF by mid-2025. It’s easy to see why there is so much optimism in the market after the epic success of the Spot Bitcoin ETF in 2024.
It can be argued that the arrival of the new spot Bitcoin ETF is more than doubled last year’s prices, which is a key reason. Therefore, the XRP Bulls clearly hope that XRP could also double the price.
XRP appears to be in a good position in terms of being able to maintain market momentum after 2025. Of course, it’s great to see some more positive signals from the Trump administration on Ripple and XRP. However, this year, the restrictions seem to have finally fallen out, and XRP could potentially increase its value for at least the next 12 months.
The story continues
Like XRP, Litecoin is being sent higher due to expectations surrounding potential spot ETF approvals. Currently, Bloomberg analysts believe Litecoin could get 90% approval from the SEC. As a result, Litecoin could be the first cryptocurrency to acquire a new Spot ETF in 2025.
That’s good news. The bad news is that there’s not just the exact demand for Litecoin ETFs. If you look at the charts comparing the performance of Bitcoin and Litecoin over the past two years, you can see why. During that period, Bitcoin has increased by 363%, while Litecoin has increased by just 51%.
Bitcoin/US Dollar Chart by TradingView
And it was generally the Litecoin story about much of its nearly 15 years of history. Litecoin has historically reduced Bitcoin performance, which is why it makes the current period of outperformance such anomalies. Currently, Litecoin runs around Bitcoin. If history is a guide, it should not happen.
So, from my point of view, Litecoin will have a hard time keeping momentum past 2025. It could be in those ETFs.
Currently, Bitcoin is struggling to surpass the $100,000 mark, and many of the most valuable cryptocurrencies in the world are red. Ethereum is down 20%, so is the case with many other layer 1 blockchain networks used to power the blockchain economy.
Against this background, it’s easy to see why investors flock to XRP and Litecoin. They are now the only top cryptocurrency with the momentum behind them, and they will likely continue to rise. Both are clear beneficiaries of the buzz and speculation surrounding the new spot Crypto ETF.
But keep your expectations down. If Bitcoin regains its Mojo, both XRP and Litecoin could lose some of their appeal. Over the long term, neither of these two cryptography may be able to keep up with Bitcoin.
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Dominic Basulto has positions in Bitcoin and Ethereum. Motley Fool has Bitcoin, Ethereum and XRP positions and is recommended. Motley Fools have a disclosure policy.
These two cryptocurrencies are red hot, but can they keep up the momentum after 2025? Originally published by The Motley Fool