Can XRP’s market cap flip Solana in December? Assessing the odds

• XRP’s 37.3% weekly rise put it on track to surpass Solana in market cap.
• Legal clarity, whale activity, and cross-border utility are fueling XRP’s impressive rally

XRP is on the verge of surpassing Solana [SOL] in market cap, a major milestone that many would say has been a long time coming.

As Solana encounters its own challenges, XRP seems to be taking full advantage of a shift in market sentiment, with its price surging in recent weeks.

This rapid rise has sparked renewed interest and raised questions about the factors driving XRP’s momentum. Is this a temporary spike, or could XRP be positioning itself for a more sustained rally?

XRP edges closer to surpassing Solana

Source: CoinMarketCap

XRP’s bullish rally to $1.92 (+37.3% weekly) has positioned it on the brink of overtaking Solana in market cap, narrowing the gap to just $3.2 billion.

Recent data highlighted XRP’s surging momentum, with significant volume spikes and consistent higher lows since mid-November, suggesting strong accumulation.

In contrast, Solana remained range-bound around $237, posting a modest 0.51% daily gain while struggling near key resistance at $240.

Source: TradingView

XRP’s rapid ascent is mirrored by its increasing daily volumes, as reflected in the charts, while Solana’s activity shows signs of cooling off.

If this divergence persists, XRP’s $109.4 billion market cap could soon eclipse Solana’s $112.67 billion, marking a significant milestone for the asset in its resurgence.

Key drivers behind XRP’s surge

XRP’s momentum is driven by recent legal clarity in its favor, boosting investor confidence.

The favorable court ruling regarding XRP’s status as a non-security has reinvigorated institutional interest, evidenced by rising daily trading volumes.

Moreover, its utility in cross-border payments, combined with Ripple’s expanding partnerships in Asia and the Middle East, continues to drive adoption.

On-chain metrics reveal increased whale activity, with significant wallet accumulations noted in the past month.

Concurrently, a broader market shift toward altcoins amid Bitcoin’s [BTC] consolidation above $99K has amplified XRP’s appeal. Technical indicators reveal a significant contributor to XRP’s rally.

Its RSI has climbed to 86, signaling extreme bullish momentum. This is indicative of overbought conditions, often associated with strong upward trends and investor optimism.

The sharp price increase has also been accompanied by a surge in daily trading volumes, reflecting heightened market participation.

Can XRP keep the pace?

For XRP to sustain its momentum and officially surpass Solana, several factors will be critical.

While its RSI suggests overbought conditions, signaling a potential cooldown, the growing trading volumes and whale activity indicate that bullish sentiment remains strong.

If Bitcoin continues consolidating and altcoin dominance increases, XRP could maintain its trajectory.

Realistic or not, here’s XRP market cap in BTC’s terms

The potential market cap flip may also trigger further rotation into XRP from other assets, reinforcing its rally. However, Solana’s robust ecosystem and upcoming developments could challenge XRP’s lead.

Still, the asset’s strong fundamentals and heightened investor interest suggest it is well-positioned to capitalize on this opportunity, potentially marking a pivotal shift in the altcoin market hierarchy.