What It Would Take for XRP to Overtake Ethereum in Market Cap

XRP has been making waves in the crypto space after securing the third position among the most valuable digital assets throughout most of July. The token managed to climb the rankings by surpassing Tether’s USDT during the second week of July, with its market capitalization breaking through the $160 billion threshold before reaching an all-time high of $216 billion.

This impressive performance has solidified XRP’s standing as the third-largest cryptocurrency, maintaining its market cap above USDT while trading above $3. The sustained momentum has sparked renewed conversations about whether XRP can repeat its historic feat of overtaking Ethereum, something it accomplished briefly in early 2018.

Ethereum Fights Back Despite XRP’s Rally

While XRP has been on a tear, Ethereum hasn’t remained stagnant. ETH is currently trading at $3,870 and has posted a remarkable 30-day gain of 57%, which actually outperforms XRP’s 43% increase over the same timeframe. This strong performance from Ethereum has resulted in its market cap expanding more dramatically than XRP’s recent surge.

The numbers tell the story clearly: Ethereum currently maintains a market valuation of $467 billion, while XRP sits at $187 billion. This substantial gap presents a significant challenge for any potential flippening scenario.

The Math Behind a Potential XRP Flippening

For XRP to match Ethereum’s current market capitalization, the token would need to more than double from its present price of $3.16. Specifically, XRP would need to reach approximately $8 to slightly surpass Ethereum’s valuation, representing a 2.5x increase from current levels.

Market analysts are already eyeing significant upside potential for XRP. Zach Rector, a well-known market watcher, expects XRP to break into the $4-$5 range in the near term, with potential targets reaching $15 by early September. If Ethereum remains relatively flat, such a 380% increase could push XRP’s market cap close to $900 billion, nearly double ETH’s current standing.

https://t.co/Vxad5IPk6D

Yes! Yes! Yes!
I've said this before, right? 🙂

Does it seem like a simple glitch?
It's a mathematically precise calculation.
Let's review it again.

1. XRP Current Market Cap
: $76.8B
2. Target Market Cap
: $5T(5,000B)
3. 50,000÷768=65x
4. XRP Future… https://t.co/A30aBJnaqq pic.twitter.com/MGf8dVrYdT

— (X)=chi (R)esurrected (P)=rho (@Cryptobilbuwoo0) November 25, 2024

The flippening narrative gained serious traction when Ethereum was underperforming while Bitcoin reached new heights. Industry figures like John Deaton pointed to institutional interest in XRP, particularly through potential ETF products, as a catalyst for overtaking ETH. Harvard engineer Austin King also weighed in, citing inflationary concerns and increasing competition as factors supporting the flippening thesis.

However, Ethereum’s recent resurgence has quieted some of these voices. The second-largest cryptocurrency has surged over 112% in the past 12 weeks, marking the strongest performance among major digital assets. Some industry experts are now projecting extremely bullish scenarios for ETH, with price targets reaching $60,000 per coin.

Broader Market Implications

The strong performance metrics and growing institutional interest in both XRP and Ethereum suggest increased confidence in the altcoin market. This competitive dynamic between major cryptocurrencies could drive further innovation and adoption across the digital asset ecosystem.