The divide between XRP and Ethereum in regards to market capitalization has significantly diminished since November 2024, decreasing approximately 33% over the past four months. This has prompted an increase in discussions within the community regarding a potential shift in standing for both cryptocurrencies. Recently, XRP’s (XRP) fully diluted valuation (FDV) managed to surpass that of Ethereum; however, Ether (ETH) continues to lead in both market cap and FDV.
With a $124 billion gap in market capitalization, one analyst has pointed out a parabolic scenario for XRP, which, according to data, holds historical significance.
XRP/ETH targets crucial resistance breakout
Dom, an analyst in the XRP market, recently examined various timelines for the XRP/ETH chart, showcasing XRP’s efforts to breach a long-standing resistance against its counterpart.
As illustrated above, the XRP/ETH pair is at a crucial turning point just under the 0.0012 overhead resistance level, which has historically ignited a parabolic rally of 160% when surpassed. This multi-week advantage may potentially set the altcoin up for another breakout in 2025.
Dom indicated that if XRP can successfully penetrate its existing resistance level, it may witness a rally independently against ETH. Even if it only achieves half of its typical historical gains (around 80%), it could still outperform ETH in terms of market cap.
In the meantime, Bobby A, a cryptocurrency trader, expressed that despite being in a “strongly fearful market climate,” XRP has found price acceptance above its previous cycle high from April 2021.
Regardless of market fluctuations for the remainder of 2025, the analyst forecasted that XRP price could average between $2.29 to $2.61 by mid-2025, bolstered by market trends and the asset’s emergence from a prolonged accumulation pattern.
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XRP futures traders remain inactive
XRP price surged 15% in the last day amid expectations for the forthcoming crypto summit in the White House, with markets anticipating positive news catalysts.
Alongside its price increase, on-chain activity also demonstrated a notable upsurge, with daily active addresses rising by 135,000 on March 4. Over the previous week, active addresses soared by 620%, climbing from 74,589 to 462,650 since February 28.
Nevertheless, data from CoinGlass indicated that XRP futures traders have remained dormant in the markets. After future open interest (OI) plummeted by 63% between January 18 and March 1 ($7.87 billion to $2.92 billion), the OI has recorded a minimal increase of 15% over the last few days, indicating a lack of engagement in the futures and perpetual market.
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This article does not provide investment advice or recommendations. Every investment and trading action carries risk, and readers should perform their own research when making decisions.
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