XRP Needs 18x Growth to Match Bitcoin Market Cap

Ripple’s CTO Emeritus David Schwartz stated on September 9 that XRP flipping Bitcoin is probably more likely than not. This assessment assumes XRP grows faster than Bitcoin rather than Bitcoin losing value. XRP currently trades near $1.38. Matching Bitcoin’s market cap at current levels requires a price of roughly $24.97.

This target represents an 18-fold increase from today’s price. It is also 6.5 times the January 2018 all-time high of $3.84. Schwartz did not provide a timeline or specific price target. He described a scenario where the entire digital asset market expands, allowing major cryptocurrencies to rise together.

Market cap gap requires massive expansion

Bitcoin trades near $79,000 as of September 11. This gives it a market capitalization of approximately $1.57 trillion. XRP’s market cap stands at roughly $87.18 billion at $1.38. The gap between the two assets is about $1.48 trillion.

Closing this gap requires XRP to reach the $24.97 threshold. XRP has never traded above $4.00. Therefore, reaching this level demands a move far beyond its previous historical high. This assumes Bitcoin’s market cap does not grow simultaneously.

If the broader crypto market expands, Bitcoin’s valuation will likely increase. XRP would then need to gain more than enough to match the higher target. This dynamic supports Schwartz’s view that faster growth is the key mechanism for the flip.

Growth driven by ledger adoption

Schwartz clarified that the flip does not depend on Bitcoin losing buyers. XRP must simply grow faster than Bitcoin. He attributed this potential growth to increased usage of the XRP Ledger. He emphasized that this is a path of expansion rather than a zero-sum competition.

XRP has recently outpaced Bitcoin in short-term performance. The asset gained 36% over the past month. Bitcoin gained 24% over the same period. However, this recent performance does not guarantee a long-term market cap reversal.

Historical context from 2017 surge

XRP briefly became the second-largest cryptocurrency in late 2017. It reached a market capitalization of about $86 billion. This allowed it to move ahead of Ethereum at roughly $73 billion. Ethereum reclaimed the second position within weeks.

XRP has not traded above its 2018 record since then. The current proposal by Schwartz offers a long-term perspective. It relies on structural growth in the digital asset sector. GN markets/crypto (en-US) reports that this view carries weight among holders given Schwartz’s role as a key architect of the ledger.