XRP Surges 8% in 24 Hours, Overtakes BNB in Market Cap Rankings

XRP just pulled a classic crypto power move—jumping 8% in a single day to flip BNB's market position. Forget gradual climbs; this was a straight-up takeover.

The Mechanics Behind the Move

Market momentum shifted almost overnight. While broader sentiment played a role, specific catalysts—like regulatory clarity whispers and institutional accumulation patterns—ignited the rally. Trading volumes spiked, liquidity followed, and the ranking reshuffle became inevitable.

What the Flip Really Means

Overtaking BNB isn't just a vanity metric. It signals shifting capital allocation and investor confidence. For projects built on these ecosystems, a change in market cap hierarchy can alter developer interest, partnership appeal, and overall network effects. It's a reminder that in crypto, today's number four can be tomorrow's number three—or vice versa.

The Ripple Effect

Expect volatility. This kind of reshuffling pressures other major assets, potentially triggering defensive positioning or copycat rallies. Traders will now scrutinize whether XRP can hold the line or if BNB mounts a swift counter-attack. The entire top ten feels the tremor.

So, another day, another multi-billion-dollar market cap game of musical chairs. Just don't ask the 'fundamental analysts' what any of it actually means—they're still drawing lines on last year's charts.

TLDR

• XRP rallied past 8.3% in 24 hours, reaching $2 and a market cap of $123 billion.
• XRP flipped BNB, which has a $120.69B market cap, to become third in crypto rankings.
• XRP trading volume surged 175% in one day, hitting $3.8 billion.
• US spot XRP ETFs now hold over $1.37B in assets with consistent daily inflows.

XRP has overtaken BNB to become the third-largest cryptocurrency by market capitalization, according to CoinMarketCap. The token surged over 8.3% in the past 24 hours, reaching a price of $2. This rise pushed XRP’s market cap to approximately $123.26 billion, just ahead of BNB’s $120.69 billion.

Bitcoin remains the top-ranked cryptocurrency with a market capitalization of $1.8 trillion, while ethereum follows in second place at $377 billion. Excluding stablecoins, XRP now trails only Bitcoin and Ethereum in the global rankings.

Trading Volume Surges as XRP Activity Accelerates

XRP’s rally was accompanied by a sharp increase in trading volume. In the last 24 hours, XRP saw a 175% surge in trading activity, with volume rising to $3.8 billion. This uptick reflects increased interest from investors and traders amid broader gains in the digital asset market.

BREAKING:

XRP flips BNB to become the 3rd largest cryptocurrency in the world by market cap.

XRP is up 8.3% in the last 24 hours! pic.twitter.com/Rz681xoJ9u

— crypto Rover (@cryptorover) January 3, 2026

Despite this upward move, XRP still trades about 44% below its all-time high of $3.60 recorded in July 2025. The recent performance follows a string of rallies in 2025, including a peak of $2.83 in January and $3.55 in July, which had briefly placed XRP ahead of Tether’s USDT.

Bitcoin, meanwhile, climbed back to $90,000, while Ethereum moved up to $3,100. Other altcoins like Solana and BNB also posted gains, trading at $132 and $877 respectively. Crypto-linked stocks and miners also saw positive momentum, with some gaining up to 10%.

ETF Inflows Strengthen XRP’s Market Position

US spot XRP ETFs have continued to record consistent inflows despite market fluctuations. Since their launch in late 2025, the funds have attracted approximately $1.2 billion in net capital. Total assets under management now exceed $1.37 billion, as per data from SoSoValue.

ETF providers have secured over 500 million XRP tokens, contributing to a steady demand from institutional investors. These funds are viewed as part of the reason for XRP’s recent strength, alongside renewed activity in crypto markets.

A post from Santiment noted that negative sentiment in crypto remains elevated, with bearish commentary up 20–30% from November. The Crypto Fear & Greed Index also fell to 24, indicating “extreme fear” across the market.

Supply Lockup vs Exchange Reserves Debate

Analysts continue to debate whether locked XRP will limit supply and affect prices. DeFi projects like mXRP are expected to lock $10 billion worth of XRP, and the Flare Network plans to lock up 5 billion XRP by mid-2026. These developments have shifted focus to supply-related dynamics.

Meanwhile, exchanges still hold a considerable amount of XRP. Data shows 15.4 billion tokens remain across 26 platforms, with Upbit, Binance, and Bithumb holding the most. Upbit alone holds 6.25 billion XRP.

Legal analyst Bill Morgan challenged the supply shock narrative, noting that exchange-held XRP equals 15% of the total supply. He also pointed out that ETFs only hold less than 1% of XRP in circulation, questioning their potential to drive a major price move.

Broader Market Trends Show Mixed Sentiment

Global crypto sentiment remains tense as markets start 2026. XRP trades at around $2.03, while Bitcoin struggles to stay above $90,000. Despite fear-driven sentiment, historical data from CoinGecko suggests extreme emotions often precede large rallies.

Traditional financial markets posted modest gains. The S&P 500 closed higher at 6,858.47, while the Dow added 319 points. The Nasdaq ended mixed but later advanced on chipmaker strength.

Meanwhile, Tether added 8,888.88 BTC to its treasury, valued at $780 million. Overall, XRP’s rise above BNB marks another key milestone for the token as investor interest remains strong.