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XRP's market capitalization has ballooned to 【$190 billion】 amid its 600% surge since November 2024. This valuation now dwarfs the XRP Ledger's (XRPL) total value locked (TVL) by 2,200 times, with the network's $87.74 million TVL appearing minuscule in comparison. ——Such disparity has ignited fierce debate among analysts about whether the token is fundamentally overvalued——.
DefiLlama data reveals XRPL's daily decentralized exchange volume barely reaches 【$49,621】, while generating only $1,467 in app fees. This translates to XRP trading at 363,000 times its annualized fee revenue - a multiple that makes even Ethereum's 135x ratio appear conservative. Interestingly, XRP's market cap equals 40% of Ethereum's despite the latter supporting 【$92 billion】 in TVL and 【$7 billion】 in real-world assets.
Notably, XRPL's tokenized assets grew 52% monthly to $175.9 million, led by US Treasury notes and public equities. This rapid expansion in real-world asset (RWA) adoption presents a potential growth vector that bulls argue justifies current valuations.
The weekly chart shows troubling bearish RSI divergence as XRP prices hit $3.66. Historically, such patterns preceded corrections, with analysts eyeing a potential 25% pullback to the 【$2.32】 support level - coinciding with the six-month realized price. Glassnode data indicates this zone represents the average acquisition cost for recent buyers, potentially serving as a consolidation area.
Market observers remain divided. Some see current levels as unsustainable speculation, while others point to Ripple's legal victories and potential ETF approvals as catalysts for further upside. The coming weeks may prove decisive as traders weigh these competing narratives against evolving on-chain metrics.
XRP's fate remains intertwined with regulatory developments. The recent Ripple lawsuit settlement removed a major overhang, but new stablecoin regulations and SEC actions could reintroduce volatility. Curiously, the token's performance continues defying traditional valuation models - leaving analysts scrambling to reconcile its price action with network fundamentals.