XRP Overtakes Tether (USDT) as Third-Largest Cryptocurrency by Market Cap

XRP surged 1.6% in the last 24 hours to reach $2.42, surpassing Tether’s USDT in market capitalization. According to CoinMarketCap, XRP now holds the #3 spot, with a market cap of $138.26 billion, edging out USDT’s $137 billion.

Key Drivers Behind XRP’s Rise:

• Market Sentiment: XRP saw a 10.6% gain over the past week, supported by increased whale activity and positive sentiment.

• ETF Momentum: Hype surrounding XRP ETFs grew as major asset managers, like WisdomTree, filed applications with the SEC.

• Ecosystem Growth: Ripple Labs launched the RLUSD stablecoin, intensifying competition with USDT and USDC.

Challenges for USDT:

• MiCA Regulation: Tether faces regulatory pressure under the Markets in Crypto Assets (MiCA) framework, risking delisting from exchanges like Coinbase.

• Market FUD: Fear, uncertainty, and doubt around compliance have limited USDT’s growth.

Although the flip may not be permanent due to market volatility, XRP’s momentum indicates strong potential for further growth in the coming months.