XRP Surpasses Ethereum In This Major Metric After Outperforming For 6 Months

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In a surprising move within the crypto market, XRP has surpassed Ethereum (ETH)in a key valuation metric: Fully Diluted Market Capitalization (FDMC). While Ethereum has been in a downtrendthis bull cycle, XRP’s performance over the last six months has been nothing short of impressive, leading to it quietly overtaking the world’s second-largest cryptocurrencyby market capitalization. XRP Flips Ethereum In FDMC

Edward Farina, a crypto analyst and outspoken XRP supporter, took to X (formerly Twitter) on April 18 to announcethat XRP has officially overtaken Ethereum in terms of Fully Diluted Market Capitalization. The FDMC represents the total potential value of a cryptocurrency if all of its tokens were in circulation.  Related Reading Why XRP Could Beat Dogecoin, Solana In ETF Race And Trigger A Price Surge 4 days ago

This metric is usually calculated by multiplying a cryptocurrency’s current price by its maximum token supply. This contrasts with the more commonly referenced market capitalization metric, which only factors in circulating supply. 

At the time of his post, Farina reported that XRP’s FDMC had reached $208.4 billion, surpassing Ethereum’s $192.5 billion by approximately $15.9 billion. This marks over six consecutive months of XRP outperforming Ethereumin terms of projected value, signaling a potential shift in altcoin dominance between the two leading cryptocurrencies. 

Despite XRP’s FDMC milestone, it’s worth noting that Ethereum’s current market capitalizationremains significantly higher. As of writing, ETH’s market cap is estimated at $199.14 billion, compared to XRP’s $124.3 billion, reflecting a difference of around $74.84 billion. 

The key reason for this discrepancy between XRP’s market capitalizationand FDMC lies in its unique token structure. A significant portion of XRP’s supply is held in escrow, meaning those tokens are not yet available in the open market. While they do not count toward the circulating supply, they are included in its Fully Diluted Market Capitalization. 

The implication behind this distinction remains clear: if all of XRP’s tokens in escrowwere unlocked and circulated today, its market value could exceed that of Ethereum. As the altcoin steadily gains momentum in valuation metrics and investor interest, it could pose a significant challenge to Ethereum’s positionas the number one altcoin and second-largest cryptocurrency.  Bollinger Bands Signal Major Move In The Altcoin Price

The XRP price could be gearing up for a significant move upwardas technical chart indicators point toward rising volatility. A recent analysisof the 4-hour chart by crypto analyst Ali Martínez shows Bollinger Bandstightening — a classic signal that often precedes a breakout.  Related Reading XRP Surpasses Ethereum In This Major Metric After Outperforming For 6 Months 55 minutes ago

Currently trading near the midline of the bands after a bounce from the lower support zone, XRP is now consolidating within a narrow range. The “squeeze” pattern reflects reduced volatility. While the target of the proposed price move remains uncertain, Martinez is confident that its next breakout is just around the corner. XRP trading at $2.12 on the 1D chart | Source: XRPUSDT on Tradingview.com Featured image from Unsplash, chart from Tradingview.com