XRP market cap hits $152.34B as token overtakes USDT, eyes $3.00

XRP has overtaken Tether (USDT) to become the third-largest cryptocurrency by market capitalisation, now valued at $152.34 billion.

The token is currently trading at $2.60 after gaining 21% in the past week, making it the strongest performer among the top five digital assets.

Source: CoinMarketCap

Its market value is now roughly half that of Ethereum. The rally has drawn renewed interest from investors and analysts, many of whom are watching closely for signs of either trend continuation or a reversal.

Technical indicators now suggest XRP is approaching overbought conditions, raising questions over whether its momentum is sustainable or due for a pullback.

RSI and ADX show mixed signals

XRP’s relative strength index (RSI) is at 69.19, hovering just below the 70.0 level that often signals overbought conditions. Typically, assets near this threshold experience a slowdown or reversal.

However, XRP defied this trend in November 2024 when it rallied despite similar indicators, pushing through technical ceilings with growing trading volumes.

The current uptrend lacks confirmation, as shown by the average directional index (ADX), which remains below the 25.0 mark.

The ADX is used to measure the strength of a price trend, and a move above 25.0 would indicate growing momentum.

During XRP’s last breakout in November, a rising ADX helped validate the rally, making it a key metric to watch.

Traders are now closely monitoring these metrics to gauge whether XRP can replicate that historic movement.

$3.00 target depends on $2.95

XRP has broken past the $2.56 resistance level, which it now needs to convert into a stable support. Holding above this threshold could allow the token to retest the $2.95 barrier, a level not reached since late 2024.

If XRP clears that, a move towards $3.00 becomes technically viable and could attract further institutional interest.

However, failure to build momentum could trigger a drop. A fall below $2.56 would put XRP at risk of retracing to $2.27, a move that would negate the current bullish structure.

The next few days could be crucial in deciding whether XRP continues to rise or enters a corrective phase, especially as traders balance technical signals with broader market sentiment.

Momentum still unconfirmed

Despite the price surge, XRP’s rally remains technically fragile. The ADX’s position below 25.0 shows a lack of strong trend confirmation, meaning the current gains could be short-lived without renewed buying pressure.

If the indicator moves higher, it would suggest that the rally has more room to grow.

The broader crypto market context will also play a role in XRP’s near-term direction. With increasing institutional interest and macro uncertainty in the digital asset space, XRP’s standing as the third-largest cryptocurrency brings both opportunity and risk.

Traders will be closely tracking whether trend strength improves or if the rally loses steam.