XRP becomes the 3rd crypto in terms of capitalization, should Ethereum be worried?

In the ultra-competitive world of cryptos, each market movement can redistribute the cards. The recent breakthrough of XRP, now the third largest crypto in the world by market capitalization, constitutes a decisive change. Powered by a spectacular surge in its price and major strategic advances, XRP is ahead of Solana and Tether, and is positioned within reach of Ethereum. At the intersection of historical performances, regulatory dynamics and speculation, the rise of XRP further calls into question the issues that are redefining the crypto landscape.

A historic leap: XRP takes the podium

The recent rise of XRP has left no one indifferent. In just 24 hours, its price jumped 30%, reaching $2.49, a high not seen since January 2018. This performance allowed XRP to display a market capitalization of $140 billion. Thanks to such capitalization, XRP surpasses Solana and Tether. This advance, described as “historic” by observers, also reflects an increase of 379% over one month, which consolidates its position as leader among altcoins. The scale of this progression is based on massive investments. Wallets that hold between 1 and 10 million XRP tokens have accumulated the equivalent of 679.1 million units, or $1.66 billion in three weeks. Trading volumes have exploded, with an increase of 97% over 24 hours, reflecting the excitement among investors. These indicators show market dynamics rarely seen in the crypto ecosystem.

Behind the scenes of an ascent: regulation, innovation and speculation

The rise of XRP cannot be dissociated from its regulatory and technological context. In addition, the prospect of the New York Department of Financial Services' approval of the RLUSD stablecoin, based on the Ripple blockchain, has sparked unprecedented excitement. This decision, expected as early as December 4, could pave the way for increased adoption of Ripple solutions in the financial sector.

At the same time, the departure of Gary Gensler, controversial chairman of the SEC, reinforced investor optimism. “This change in leadership could help resolve several legal conflicts, including the one between Ripple and the SEC,” explains Peter Chung, research manager at Presto Research. The potential dispute resolution would promote an increased focus on the development of the Ripple ecosystem, and free up resources and energies for key innovations. While some observers anticipate a possible short-term correction, others project even more ambitious highs. If the Ripple blockchain succeeds in strengthening its ecosystem around new applications, XRP could establish itself in the long term as an essential pillar of the crypto sector.

XRP has demonstrated its ability to surprise, but this rise provokes strategic reflections: can it dethrone Ethereum, which firmly occupies second place with a capitalization of $442 billion? However, the coming days, marked by important regulatory decisions and market developments, will be decisive. XRP is at a major turning point, where innovation and strategy will be the key words to shape its future in an ever more competitive market.

Luc Jose A.

A graduate of Sciences Po Toulouse and holder of a blockchain consultant certification issued by Alyra, I joined the Cointribune adventure in 2019. Convinced of the potential of blockchain to transform many sectors of the economy, I took the commitment to raise awareness and inform the general public about this constantly evolving ecosystem. My goal is to enable everyone to better understand blockchain and seize the opportunities it offers. I strive every day to provide an objective analysis of current events, to decipher market trends, to relay the latest technological innovations and to put into perspective the economic and societal issues of this ongoing revolution.