Ripple CTO Says XRP Rally Is Encouraging but Still Undervalued

Tech

Ripple CTO Says XRP Rally Is Encouraging but Still Undervalued

• David Schwartz says that XRP price will correlate with its utility value in the long term despite the headwinds in the short term.
• Ripple CTO believes the adoption of XRP as a wrapped version on other chains is crucial for its long-term growth.
• XRP price is on the cusp of entering its euphoric phase of the 2025 altseason.

Ripple Labs chief technology officer (CTO) David Schwartz has welcomed the recent crypto pump- led by Ethereum (ETH) and XRP. Schwartz noted that he is of the view that bull markets are vital to reward investors. However, Schwartz highlighted that most altcoins continue to record lower prices in the short term, which is not a true representation of the underlying utility.

According to Schwartz, crypto prices will eventually catch up with their respective real-world utility, especially in the long haul. Nonetheless, he noted that the set of actual real-world problems being solved by crypto assets is considerably small.

“I always feel good when prices are high because I hate to think that people are losing money. But I‘m truly not sure how much focus on price is the right amount, especially since price doesn’t seem to correlate very much with other good things like solving real-world problems,” Schwartz noted.

Schwartz on XRP Utility

The mainstream adoption of XRP has gained traction in the recent past, especially under the second term of President Donald Trump. Furthermore, the U.S. SEC under the Trump administration has dropped several crypto cases, including the lawsuit against Ripple.

As a result, Ripple has shifted its focus to the development of the XRPL chain to enhance the real-world utility of XRP. According to Schwartz, the use of XRP on other EVM-compatible chains, through wrapped versions, is crucial to its long-term growth and adoption.

“A good analogy is XRP being used as a currency on the EVM sidechain. It‘s not a direct use of XRP on XRPL, but it’s still part of the utility and value of XRP as a currency,” Schwartz highlighted.

ATH Next？

The recent Ethereum pump above $3k for the first time since January 2025 has sparked bullish sentiment for the wider altcoin market. According to market aggregate data from Coingecko, XRP price has surged over 25% in the past seven days to trade at about $2.84 on Tuesday, July 15, during the mid-London session.

The large-cap altcoin, with a fully diluted valuation of about $284 billion, has since broken out of a falling logarithmic trend established from January to early July. From a technical analysis standpoint, XRP bulls are in control, with a breakout towards its all-time high, around $3.4, more likely than a drop below $2 in the near term.