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Ripple’s $80B token holdings boost IPO speculation despite a lack of urgency
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XRP Futures open interest remains high, signaling persistent traders’ engagement
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RSI closes to oversold zone, MACD indicates weakening bearish force in XRP price
John E. Deaton, a crypto lawyer, has reignited speculation over a possible Ripple Initial public Offering (IPO). He argues that the successful debut of digital assets firm Circle has set a benchmark for what Ripple might be worth. His analysis suggests that if Circle is able to command its high valuation then a $100 billion valuation of a Ripple IPO would not be “far-fetched.”
Deaton’s comment focuses on a direct comparative of the financial strengths of both companies, highlighting that Ripple has a significant advantage due to its massive XRP holdings.
The Circle IPO is a Benchmark for Valuation
The argument is based on a simple market value comparison. Circle, the issuer USDC stablecoin has achieved a landmark valuation in the public markets, setting a precedent for how digital assets companies are valued.
Related:XRP faces a crucial price test: Will $1.87 hold or break?
Deaton believes that if Circle is valued at its current level by the market, Ripple’s vast token holdings would logically be worth more if it went public.
Ripple’s Financial Firepower
The analysis cites Ripple’s treasury to support its case. Ripple holds approximately 40 billion XRP. At a $2.15 trading price, this translates into a valuation of about $80 billion. This estimate is based upon the current price and XRP’s circulating supply, which is 59 billion tokens. XRP has a market cap of over $116 billion. This shows its dominance in the crypto industry.
Ripple’s substantial balance sheet means it does not need to raise capital urgently, allowing the company to time a potential IPO strategically. The success of other crypto-related public listings has made the prospect more attractive.
XRP Market and technical Context
This high-level discussion of valuation is taking place in the context of a cautious XRP marketplace. XRP’s price is currently $2.15. It has increased 5.90% over the last 24 hours, but it has still fallen 4.5% in the past 7 days.
Open Interest data for XRP Futures provides deeper insights into the market’s behavior. Open Interest remained under $2 billion for the majority of 2024.
It grew rapidly in late November, reaching $7.44 trillion by early 2025. This increase mirrored XRP’s bullish price rise. As of June 23, open interest stands at $3.54billion, well above the pre-rally level. This indicates a robust trader participation.
Technical indicators, however, suggest caution, even though trader interest is high. The Relative Strength Index at 32.68 indicates that XRP has reached oversold territory. In the past, such levels have caused notable price increases.
Related:XRP price struggles near $2.02 as bulls fail to reclaim EMA resistance
The MACD indicator is currently showing negative momentum. Both lines are below zero. Weakening bearish pressure suggests possible shifts. The constant engagement in futures shows traders are still preparing for more volatility or a possible recovery.
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