Despite the recent rebound in the broader crypto market, XRP shows a slight undervaluation, according to Santiment.
Following a prolonged market downturn, many cryptocurrencies, including XRP, are now attempting to recover. XRP, which briefly slipped to $1.83 during the decline, has since climbed back above $2 level.
XRP Is the Least Undervalued Among Major Cryptos
Despite this rebound, blockchain analytics platform Santiment notes in its latest assessment that several major crypto assets remain undervalued, including XRP.
Using the 30-day MVRV ratio, which measures the average purchase price of coins held by active wallets over the past month compared to the current price, Santiment found that XRP has experienced only a slight decline over the past month.
According to the data, XRP wallets show an average 30-day return of -4.7%, placing the asset in the “Very Slight Undervaluation” zone.
This is notably less severe than the conditions for other assets such as Cardano and Chainlink, which fall into the “Extreme Undervaluation” (-19.2%) and “Strong Undervaluation” (-13.0%) zones, respectively.
By comparison, Ethereum and Bitcoin show “Mild Undervaluation” at -6.3% and -6.1%, respectively.
Potential Rebound?
As the least undervalued asset in the group, XRP has spared recent investors from severe losses, showing milder downside pressure.
Although the metric indicates that investors who bought XRP in the past 30 days are still experiencing slight losses, it also suggests potential buying opportunities. In a previous analysis, Santiment noted that assets with a negative MVRV ratio are more likely to stage a rebound than those with a positive ratio.
Meanwhile, XRP was trading at around $2.15 at the time of the analysis. At this price, the Crypto Basic reported that 36.70% of XRP’s total supply, or 22.1 billion tokens, were in the red.
Notably, XRP has rebounded from the $2.15 level and currently trades at $2.20. It has surged 1.2% over the past day and 1.95% over the past week. However, it is still down in the 30-day timeframe, with its losses standing at 16.43%.