XRP Surpasses Ethereum in Fully Diluted Market Cap, Reaching $208.69 Billion
1min read Edoardo Farina, the CEO of Alpha Lions Academy, recently highlighted a significant shift in the cryptocurrency market. He posted on X that XRP has surpassed Ethereum (ETH) in fully diluted market capitalization, with XRP's value reaching $208.4 billion compared to Ethereum's $192.5 billion. This development aligns with Farina's earlier predictions that XRP would soon overtake Ethereum.
This milestone is particularly noteworthy as it follows a period of five consecutive months where XRP outperformed Ethereum. Farina interprets this trend as evidence that "the flip has already begun," suggesting a potential long-term shift in market dynamics.
Despite Ethereum maintaining the second spot in total market capitalization due to a higher percentage of its supply in circulation, XRP's recent performance has sparked renewed interest. The fully diluted market cap, which considers the total supply of a token rather than just the circulating supply, has brought XRP into the spotlight. Ripple's holding of a substantial amount of XRP's supply in escrow keeps its market cap lower, but growing interest and usage are changing this narrative.
Analysts are now reassessing XRP's potential to climb further in the cryptocurrency market. The sustained momentum of XRP has been supported by ongoing developments in its ecosystem and increased institutional engagement. The U.S. Securities and Exchange Commission (SEC) has dismissed its appeal against Ripple, providing the asset with full regulatory clarity and paving the way for increased institutional adoption.
In contrast, Ethereum, while still dominant in decentralized finance and smart contracts, faces challenges such as scaling issues and high transaction costs. These challenges have not been fully resolved, and the broader market appears to be reacting more to XRP's long-term potential rather than short-term speculation.
At the time of reporting, XRP had a fully diluted value (FDV) of $208.69 billion, while Ethereum had an FDV of $193.59 billion. With Ethereum struggling to maintain its position, it is only a matter of time before XRP takes the lead.
