XRP remains significantly undervalued despite growing demand, rising trading activity, and expanding real-world settlement use, according to new research from Bayberry Capital. The firm says the market continues to misprice XRP because it misunderstands the asset’s purpose. It adds that investors overlook the infrastructure being built beneath the surface.

Bayberry Capital Warns Market Mispricing Hides XRP Utility

Bayberry Capital argues that XRP’s role in global liquidity remains far larger than its current valuation reflects. The private investment firm says XRP is treated like a speculative token even though it functions as financial plumbing for value transfer.

The company observes that traders are still evaluating XRP on its volatility and the narrative that surrounds. Instead, the token’s evaluation should be based on its actual application, including settlements in the real world.

It compares the present moment to the early internet era when networks and routers traded sideways. But the foundations of modern digital infrastructure were being laid quietly, unnoticed by most.

The report says this token sits in a similar phase as the world prepares for tokenized finance. Ripple has also been expanding XRP use cases lately.

Brad Garlinghouse reaffirmed that the token plays a central role across multiple settlement applications. The firm also says the token’s purpose as a bridge asset is rarely understood.

CryptoQuant Data Shows Traders Rotating Into XRP

The private investment company explains that the Ripple-linked token was engineered to move liquidity between disconnected financial systems with precision and neutrality. That role requires institutional adoption, compliance, and deep integrations that develop slowly.

Bayberry Capital says this slow pace leads markets to underestimate what is being built. It believes XRP’s stability reflects infrastructure growth rather than weak investor interest. Meanwhile, fresh data shows rising demand for XRP across major exchanges.

According to CryptoQuant, open interest in BTC and ETH positions have fallen within the last 72 hours but XRP accumulation keeps rising. This shift marks a strong show of confidence.

Ripple Partnerships Strengthen XRP’s Market Momentum

CryptoQuant says BTC open interest has dropped sharply as risk reduction sweeps the market. The data is pointing out the change towards assets that has a more specific utility and better fundamentals.

Recent announcements by Ripple have also coincided with the increase in demand. Ripple has expanded the use of RLUSD after it collaborated with Mastercard, WebBank, and Gemini.

The firm raised $500 million at a $40 billion valuation with support of other major players like Citadel Securities and Fortress affiliates. These partnerships enable settling credit-cards on the XRP Ledger through stablecoins.

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