XRP News Today: XRP Surges 500% in 7 Years, WisdomTree Sees 20x Potential

Ripple's XRP has recently reached a seven-year high, sparking increased speculation within the cryptocurrency community about its potential to surpass Bitcoin. A post by @SMQKE on X, shared by TheCryptoBasic, has reignited this debate, referencing a document from the well-known asset manager WisdomTree. This document explores the conditions necessary for XRP to match Bitcoin’s substantial market capitalization.

Currently, XRP is trading at $3.66 with a market cap of $216 billion, positioning it as the third-largest cryptocurrency behind Bitcoin and Ethereum. Bitcoin, on the other hand, maintains a dominant lead with a market cap exceeding $2.3 trillion, creating a gap of over $2 trillion. Despite this disparity, the momentum around XRP has fueled speculation about its potential to challenge Bitcoin.

WisdomTree views XRP not just as another altcoin but as a core component in a long-term cryptocurrency strategy, particularly when paired with Bitcoin. Unlike many other tokens known for hype or short-term trends, XRP is recognized for its utility, speed, energy efficiency, and low correlation with the two largest cryptocurrencies. WisdomTree categorizes XRP and Bitcoin into a “Layer-1 payments” category, distinguishing XRP from other altcoins. Additionally, XRP’s capped supply and deflationary token model make it attractive to institutions seeking long-term value. WisdomTree is among those filing to list XRP ETFs, indicating growing confidence in Ripple’s long-term prospects.

WisdomTree’s research suggests that XRP would need to rise by approximately 20 times to match Bitcoin’s market cap. This calculation was based on October 2024 figures, when XRP was trading under $0.60 and Bitcoin was around $59,000 to $70,000. If XRP had surged by 20 times from that price range, it would have reached around $10 to $12 per coin. However, even then, it wouldn’t fully match Bitcoin’s trillion-dollar cap unless all 100 billion tokens were in circulation.

Today, with XRP at $3.66 and a circulating supply of 59 billion tokens, a 20 times surge would push its price above $73, giving Ripple a market cap of about $4.26 trillion. This would be more than enough to surpass Bitcoin’s current cap of $2.4 trillion. Conversely, for XRP to simply match Bitcoin’s current cap, the price would need to rise to around $40, an 11 times increase from its current level.

Analysts like SMQKE believe this level could be achievable within the current cycle, especially if institutional interest continues to grow. However, if Bitcoin’s price rises further, the target for Ripple will also increase, requiring an even larger surge for XRP to catch up. Unlike many cryptocurrencies, Ripple has established a reputation for real-world use, with its payment network utilized by financial institutions globally. The XRP token plays a crucial role in settlement processes, and its energy-efficient model appeals to investors concerned about environmental impact.

WisdomTree’s focus on XRP’s utility rather than speculation reflects a shift in how large firms are beginning to view the token. If ETFs tied to XRP are approved, they could attract significant institutional capital, similar to what happened with Bitcoin in the past. For XRP to overtake Bitcoin, a combination of major institutional adoption, ETF listings, and broader global usage of the Ripple network in banking and finance would be necessary. While this scenario is challenging, it is not impossible, according to analysts like SMQKE. However, Bitcoin’s continued growth could keep the gap between the two cryptocurrencies out of reach for XRP.

Despite the wide gap between XRP and Bitcoin, the discussion about Ripple overtaking Bitcoin is no longer unthinkable. XRP’s growing role in payment systems, institutional portfolios, and ETF filings makes it one of the most closely watched altcoins. If XRP continues to climb at its current pace, the idea of Ripple challenging Bitcoin may not seem so far-fetched.