Cardano’s (ADA) Market Cap Exceeds Ripple’s XRP For The First Time
Cardano (ADA) has experienced an extended bull run in recent months, which has led the altcoin to new milestones. The market capitalization of ADA has exceeded Ripple (XRP) for the first time and is ranked 4th on the coin rankings.
Cardano (ADA) Overtakes Ripple (XRP)
Cardano (ADA) surpassed the market cap of XRP in the late hours of February 7, 2021. This was after a week in which the altcoin made significant gains in the market. ADA had enjoyed a resurgence in recent days, but the breakthrough came over the weekend.
The cryptocurrency rose by 33% in the space of a day, hitting the $0.70 mark. This surge in value took the market capitalization of ADA to over $20 billion against Ripple’s $19 billion (XRP). Thus Cardano was able to surpass Ripple on the coin rankings for the first time since it launched in 2017.
As for Ripple, this represents the continuous downtrend for the embattled token. Its native token XRP has struggled in the past two months since news of the SEC legal suit against Ripple Foundation. Investors have pulled their funds from Ripple, which hit an all-time high of $30 billion in market cap in December. At the time of writing, Cardano (ADA) is trading around $0.65, according to data from CoinMarketCap.
What Is Behind Cardano (Ada) Price Surge
Several factors could be behind the recent breakthrough for ADA, which has enjoyed decent gains in recent weeks. The blockchain made a hard fork called “Mary” on February 3, which allows it to become a multi-asset network.
This is a crucial step for the Cardano project advancing towards its highly anticipated “Goguen” era. The latter will finally allow Cardano to be able to deploy smart contracts leading to new developments. Also, there are signs that institutions are interested in the project. Grayscale is considering adding new trusts for several altcoins, including that of Cardano (ADA). The popular crypto exchange, Bitfinex, also launched ADA-based perpetual swaps on its trading platform.
These developments add a guarantee of legitimacy for the cryptocurrency, and Goguen’s arrival at the end of February could cause the altcoin to pump.