XRP Could Surpass Ethereum in Market Capitalization, According to Messari’s Sam Ruskin

Sam Ruskin from Messari highlighted several key factors that could enable XRP to surpass Ethereum in market capitalization. These include post-election momentum, a potential XRP ETF filing, and the rotation toward established cryptocurrencies like XRP, also known as “boomer coins.”

XRP’s Recent Gains and Growing Investor Interest

Ruskin attributes XRP’s recent gains to macroeconomic factors and sector-specific catalysts. These include the inauguration of Donald Trump, speculation about a U.S. spot XRP ETF filing, and proposed capital gains tax policies that could benefit U.S.-based crypto projects like XRP. Since the 2024 U.S. election, XRP’s price has surged by 460%, indicating growing investor interest.

Market Trend Favoring Established Cryptocurrencies

Ruskin notes a market trend favoring established cryptocurrencies like XRP, HBAR, Stellar, and Cardano — dubbed “boomer coins.” This trend could contribute to XRP’s potential to surpass Ethereum in market capitalization.

Ethereum’s Challenges

Ethereum faces challenges such as increased competition from layer-2 scaling solutions and rival blockchains like Solana. Additionally, Ethereum’s on-chain metrics reveal concerning trends, including declining retail interest, oversaturation of L2 solutions, and a fragmented community.

“The market cap of ETH ETF’s makes up 3% of all Ethereum, while the market cap of BTC ETFs makes up nearly 10% of all Bitcoin. Retail has not shown up for Ethereum like they have for Bitcoin, and morale onchain suffered as a result.”

XRP’s Price Momentum and Growing Investor Confidence

By contrast, XRP’s price momentum and growing investor confidence point to short-term gains. Ruskin predicts another 35-50% price increase in the months following Trump’s inauguration. Key factors contributing to this prediction include:

  • Unified community and clear narrative surrounding XRP’s role in the future of finance.
  • Growing investor interest and confidence in XRP.
  • Potential XRP ETF filing and proposed capital gains tax policies benefiting U.S.-based crypto projects.

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