XRP Surges Over 14%, Surpassing ETH’s FDV as Ripple Anticipates Bright Future

In a remarkable turn of events, XRP has experienced a significant surge, rising by over 14% in the past 24 hours to hit a price of $2.55.

This upward movement has driven XRP’s Fully Diluted Valuation (FDV) to a staggering $254.87 billion, pushing it ahead of Ethereum’s FDV of $244.24 billion, making it the cryptocurrency with the second-highest FDV, just behind Bitcoin. This surge comes on the heels of important developments surrounding Ripple, the company behind XRP, and its ongoing legal battles with the U.S. Securities and Exchange Commission (SEC).

The network has been much busier and surged right along with the price. And now we have major players, some of whom haven’t touched XRP in years, suddenly throwing tens of millions into the asset. This is certainly sending the message that XRP, as a whole, is moving right along and potentially transforming into something that has real recognition and maybe even real growth. Could this be something institutional now? That’s anybody’s guess. But I for one am optimistic.

Ripple’s CEO Predicts Bright Future for XRP

According to Ripple’s CEO Brad Garlinghouse, XRP’s future is bright, with the cryptocurrency well on its way to becoming a key element in the U.S. Digital Asset Reserve. This assertion was made following the SEC’s landmark decision to officially drop its lawsuit against Ripple, a case that had long clouded the legality of XRP itself and the company’s operations. Having put this lawsuit behind it, Ripple is now forward-looking, with plans to integrate XRP into many more complementary frameworks, including governmental and institutional ones.

Garlinghouse anticipates the debut of an XRP exchange-traded fund (ETF) by 2025. If such a product were to launch, it would likely represent a giant step toward acceptance of XRP in the public markets and would also be a huge statement for the digital asset industry as a whole. The prospect of such a product, coupled with Ripple’s recent string of legal wins, has been good for market sentiment in XRP. The price not only has managed to climb past the $2.50 mark but also on some exchanges hit its highest point in about 12 days.

Whale Activity and Accumulation Trend

One of the more intriguing aspects of the recent rally of XRP is the fact that big holders continue to accumulate it. Wallets containing at least 1 million XRP now own 46.4 billion XRP in total, representing a surprising increase of 6.5% over just the past two months. This accumulation trend certainly gives the appearance that the kinds of large investors—likely institutions or whales—that hold XRP are increasingly bullish on it and are adding it to their portfolios in greater amounts.

Even with these increases, Santiment data shows that there haven’t been any large buy orders from whales during this price surge. This implies that the recent pump is not primarily the result of large, institutional purchases. Instead, it seems as though the price is being pushed up by either smaller traders or retail investors. Also, something that looks a lot more concerning is the significant increase in open interest, which has jumped up by $200 million during the surge in price. This seems to imply that not only are traders betting on the price going up (which, as we said, is a good thing for them if the price does go up), but also that they’re doing it with more leverage than before.

XRP Decouples from Altcoins, Surge Fueled by Growing Activity

XRP’s performance has notably decoupled from the wider altcoin market, which has struggled to keep up with the same momentum. While many altcoins have been relatively stagnant or have shown only modest gains, XRP has managed to stand out with its double-digit increase. This price jump has allowed XRP to break through the critically important $2.50 resistance level for the first time in 12 days. That signals to us that a new phase of upward momentum may be underway.

Moreover, network activity has experienced a remarkable upsurge, with address activity booming throughout March. The latest figures show that the number of distinct wallets interfacing with the XRP network in March was virtually sixfold the figure from before. This sudden spurt in wallet action suggests that a greater number of users are partaking in the XRP network—doing anything from trading and holding to using the cryptocurrency for actual transactions. Should this phenomenon persist, it seems that XRP price growth is set to continue as more users find their way into the XRP ecosystem.

Conclusion: XRP’s Surge Reflects Growing Confidence and Potential

A surge in XRP’s price and the impressive rise in its market capitalization demonstrate an increase in confidence in the cryptocurrency and Ripple’s prospects. With Ripple’s legal troubles behind it and what could be an exciting couple of years leading up to a 2025 with things like a U.S. Digital Asset Reserve and an ETF, XRP looks primed for something good. And while it might not have defaulted to the “whale watching” scenario of yesteryear, in which the price goes up because the big folks are buying, the recent surge can still be attributed to just that: recent network activity and big buys.

Disclosure: This is not trading or investment advice. Always do your research before buying any Metaverse crypto coins.

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