The popularity of XRP is growing due to increased interest from institutional investors and a more favorable regulatory environment in the United States.
XRP Overtakes Ethereum In Terms of FDV
According to Token Terminal, XRP's FDV has exceeded $240 billion. Ethereum's figure is $231.5 billion.
However, the Ripple project cryptocurrency is still inferior to ETH in terms of capitalization. The market value of XRP is $140 billion, while Ethereum is about $231 billion.
Nevertheless, XRP's rapid growth indicates a significant change in market dynamics.
The price of ETH has been falling steadily in recent months. This has been affected by management problems at the Ethereum Foundation, as well as the not-so-successful implementation of the Pectra update. Earlier in the hardfork rollout, there were several failures in the Sepolia and Holesky test networks.
Initially, Pectra's introduction into the mainstream was scheduled for late March. However, the developers recently pushed that date back to April.
XRP Successes
Meanwhile, XRP is experiencing a sharp rise. This is due to greater clarity in the regulation of the crypto industry in the US, as well as support from institutionalizers.
Since Donald Trump's re-election, the asset's price has risen more than 300%, peaking at $3.38 in January. Recently, the American president mentioned XRP among the key assets to be included in the US cryptocurrency reserve. This has further boosted investor confidence in this coin.
The XRP Ledger (XPRL) blockchain, which has been adopted by financial institutions such as Societe Generale, has also gained widespread adoption.
Large asset managers are increasingly applying to launch spot exchange-traded funds (ETFs) based on the Ripple cryptocurrency. Now the crypto community is discussing rumors that BlackRock may soon take this step.
"BlackRock will file ETFs for Solana and XRP. An announcement regarding Solana could come any day now. And regarding XRP, most likely after the conflict with the SEC is over," predicted Nate Geraci, president of ETF Store.
It was reported earlier that the Securities and Exchange Commission (SEC) plans to close its case against Ripple. There is a possibility that XRP may be recognized as a commodity rather than a security. Such events will have an extremely positive impact on the market dynamics of the asset.
