XRP price could breach the $1 level if it rises proportionally should the global crypto market cap hit $5 trillion, as predicted by Ripple CEO Garlinghouse.
In April, Garlinghouse predicted that the global crypto market cap could skyrocket to $5 trillion before the end of this year. He cited macroeconomic trends and the capital influx triggered by the spot Bitcoin ETFs as catalysts that could drive this surge.
Recently, while speaking at this year’s Consensus, the Ripple CEO reaffirmed his optimism about this projection as he discussed the crypto ETF market. This optimistic outlook has sparked widespread speculation about the potential impact on various cryptocurrencies, including XRP.
XRP Price if Crypto Market Hits $5 Trillion
Currently, XRP is priced at $0.5113 with a market cap of $28.3 billion. Meanwhile, the total crypto market cap stands at $2.5 trillion. If Garlinghouse’s prediction comes true, the crypto market would double in value, presenting significant opportunities for XRP.
With the current market cap at $2.5 trillion and the future target at $5 trillion, the market could see a doubling effect or a 100% increase. If XRP records a similar increase in its $28.3 billion valuation, it would soar to $56.6 billion. This assessment assumes that XRP’s market cap rises in direct proportion to the overall market.
At a $56.6 billion market cap, XRP’s price would also witness a similar surge if its circulating supply remains fairly constant at 55.35 billion tokens. This would bring the price to $1.022, a position that sits below the projections of prominent market analysts.
Essentially, if the global crypto market cap reaches $5 trillion, as Garlinghouse predicts, XRP’s market cap could grow to $56.6 billion, and its price might climb to around $1.022 on the back of a proportional increase. This projection highlights a potential doubling of XRP’s current value, reflecting the broader market’s expansion.
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Loftier Projections
However, some market analysts believe XRP clinching $1 would only be the start of its uptrend. For instance, last month, World of Charts projected an imminent XRP price increase to $5. Meanwhile, CryptoBull identified a market structure he believes could push XRP to a three-digit figure of $154.
Such lofty targets could exponentially increase XRP’s market cap, significantly bolstering its market dominance, which currently sits at 1.16%, down from the peak of 31.33% in May 2017. If XRP hits $5, its market cap could reach $276 billion. At this figure, XRP’s dominance would sit at 5.3% if the crypto market cap hovers at $5 trillion.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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