Many investors expected 2025 to mark a classic altcoin season — a phase when smaller cryptocurrencies rally after bitcoin reaches new highs. That scenario never materialized. The crypto market changed significantly over the year: regulation intensified, institutional players gained influence, and investors became far more selective. Most altcoins lagged behind, but a few managed to stand out. Notably XRP, Zcash, and Algorand.

Bitcoin dominated attention while altcoins fell behind

Bitcoin reached new highs during the year, but the broader market failed to follow. After a sharp sell-off in early October, bitcoin was roughly 7% down year to date. Altcoins performed even worse, with their combined market capitalization falling more than 46% from this year’s peak.

The reason is simple: investors stopped buying everything. Capital concentrated mainly in bitcoin, now widely seen as the safest cryptocurrency, and in a small number of projects offering either legal clarity or real-world utility.

XRP when legal uncertainty disappears

XRP emerged as one of the strongest performers of 2025. In July, its price jumped more than 35%, reaching $3.60 on July 23. Compared to its $0.43 low in the summer of 2024, that represents roughly an eightfold increase.

The key catalyst was the end of the long-running legal dispute between Ripple and the U.S. Securities and Exchange Commission. The SEC sued Ripple in 2020, alleging that XRP had been sold as an unregistered security. That uncertainty had kept institutional investors on the sidelines for years.

In August 2025, the dispute was officially resolved. Markets interpreted the outcome as a clear signal: XRP can now be classified legally, allowing institutions to engage without regulatory risk. This was reinforced by the launch of exchange-traded funds, which give investors indirect exposure to XRP without holding the cryptocurrency itself. These ETFs attracted more than $750 million within their first 11 trading days.

Zcash why privacy matters again

Zcash became one of the year’s biggest surprises. Its price surged from $48 to as high as $744 — a more than twelvefold increase.

The rally was driven by renewed interest in financial privacy. Governments and exchanges worldwide tightened oversight of crypto transactions, introducing stricter identity verification and transaction monitoring. In response, some investors and developers returned to tools that allow value transfers without publicly visible data.

Zcash supports two types of transactions: transparent ones and so-called shielded transactions, which conceal addresses and amounts. This is enabled by zero-knowledge proofs, allowing transactions to be verified without revealing sensitive information.

The shift toward privacy is visible in on-chain data. The number of coins held in shielded addresses rose from 1.7 million to roughly 4.5 million ZEC during the year. Growth was also supported by the late-2024 halving, which reduced new coin issuance and constrained supply.

Algorand Blockchain in action

Algorand gained attention early in 2025 when its price climbed nearly 50% in just three weeks. The trigger was a partnership with Enel, one of Europe’s largest energy companies.

The project allows Italian users to purchase fractional ownership in solar and wind power plants. These shares exist as digital tokens on the Algorand Blockchain, demonstrating how Blockchain can function as infrastructure for real-world assets rather than pure speculation.

While ALGO’s price later retreated, network fundamentals continued to strengthen. More tokens were staked, developer activity increased, and new tools for builders were released. Algorand is positioning itself for long-term growth driven by adoption, not short-term price swings.

A changing market less speculation more substance

The events of 2025 showed that the crypto market no longer follows old patterns. Instead of broad rallies, success increasingly depends on specific factors — legal certainty, technological value, and real-world use cases.

XRP benefited from regulatory clarity, Zcash from renewed demand for privacy, and Algorand from integrating Blockchain into the real economy. As 2026 approaches, it is becoming clear that only projects offering more than promises of quick profits are likely to endure.

Sources:

https://www.courtlistener.com/docket/69230851/64/securities-and-exchange-commission-v-ripple-labs-inc/

https://mainnet.zcashexplorer.app/blocks/2726400

https://messari.io/report/algorand-q2-2025-brief

https://algorand.co/blog/introducing-algokit-3.0-a-new-era-for-algorand-developers-typescript-debugger

https://cointelegraph.com/news/xrp-zcash-algorand-outperformed-2025-altcoin-slump