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XRP news today: XRP's Market Cap Could Match U.S. M1 Money Supply By 2040

Coin WorldSaturday, May 3, 2025 12:22 pm ET

1min read

XRP, a prominent cryptocurrency, has garnered significant attention from analysts who envision a future where its market capitalization could match the U.S. M1 money supply. This optimistic outlook is driven by the belief that XRP could achieve extraordinary price milestones, potentially reaching $50 or even $100, if it gains widespread recognition as a global payment solution.

To understand the potential value of XRP, it is essential to consider the U.S. M1 money supply, which stood at $18.4559 trillion in January 2025. This figure includes physical cash, demand deposits, and other highly liquid assets. In contrast, XRP currently trades around $2.23, with a circulating supply of 58.39 billion tokens and a total supply of over 99 billion tokens. Its current market cap is approximately $130.4 billion.

If XRP’s market cap were to match the U.S. M1 money supply, its total valuation would surge to $18.4559 trillion. This would translate to a price per XRP of $186, considering the total supply of 99.98 billion tokens. However, if this valuation is applied to the circulating supply of 58.39 billion tokens, the price per token would be $316. This scenario highlights the potential liquidity that XRP could capture if it were to achieve such a market cap.

Analysts from the crypto exchange Changelly are notably bullish on XRP’s long-term prospects. They forecast that XRP could reach a maximum price of $315 by February 2040, aligning with the $316 theoretical price target derived from the M1 supply comparison. These analysts also expect XRP to hit the $186 milestone as soon as January 2040, just a month earlier than their higher-end forecast.

However, not all analysts share the same level of enthusiasm. Experts from Telegaon present a more conservative outlook, predicting that XRP’s maximum price in 2040 would peak at $160. They expect XRP could eventually touch $186, but only between 2040 and 2050. Telegaon analysts maintain skepticism that XRP would ever attain the $315 valuation, even beyond 2050.

In summary, while there is optimism surrounding XRP’s potential to reach significant price milestones, the actual realization of these projections remains uncertain. The comparison of XRP’s market cap to the U.S. M1 money supply provides a theoretical framework for understanding its potential value, but it is essential to consider the varying opinions of analysts and the inherent volatility of the cryptocurrency market. Investors are encouraged to conduct thorough research before making any investment decisions.

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