The XRP community is speculating about the possibility of XRP’s market valuation attaining the current level of the second largest cryptocurrency, Ethereum (ETH).
Recently, prominent XRP figure Crypto Assets Guy (CAG) tweeted about a hypothetical scenario of XRP’s market cap growing 650% from $26.11 billion to $196 billion. The XRP influencer argued that the asset could attain such a valuation when it trades at $3.8.
Moreover, CAG highlighted that the projected $196 billion for XRP is the current market cap of Ethereum.
— Crypto Assets Guy (@cryptoassetsguy) September 17, 2023
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XRP Reaching $196B Valuation
Market capitalization is the total value of a digital asset’s outstanding coins realized by multiplying its market price by the number of coins in circulation.
According to data from market tracker CoinMarketCap, XRP has a circulating supply of 53,175,400,720 (over 53 billion). Its projected price of $3.8 implies XRP’s valuation would be $202,066,522,736 (over $202 billion).
This figure puts the XRP influencer’s estimation of Ethereum’s current cap within range. Since $3.8 is about XRP’s previous all-time high (ATH), many XRP enthusiasts believe the projection is attainable.
Moreover, as The Crypto Basic reported, Google’s artificial intelligence tool, Google Bard, recently argued the possibility of XRP reclaiming its previous ATH. Google Bard disclosed that XRP could reach $3.8 in the expected bull seasons of 2025 and 2026.
The AI engine affirmed the feasibility after drawing insights from various indicators. Some cited propellers include increased utility, bank integration for global settlements, sensation following ultimate lawsuit victory, and an overall bullish market.
Meanwhile, it is worth clarifying that XRP’s circulating units increase monthly with Ripple’s escrow unlocks. Therefore, the XRP trading at $3.8 may command a more formidable market share than the projected $196 billion. Conversely, the increased supply could equally lower the race to $3.8.
During XRP’s all-time high in January 2018, the asset had a valuation of $130.8 billion with a circulating supply of approximately 38.7 billion. These figures imply that XRP’s supply increased 37% in five years while its price plummeted 86.78%.