- The crypto market trades in the green, with many tokens like XRP and ADA gaining.
- While Forbes previously dubbed these tokens Zombies, the recent surge sparks criticism.
- While XRP targets new all-time highs, ADA trades at a level last seen in 2022.
The cryptocurrency market is seeing a bullish resurgence, with its total market capitalization climbing to $3.53 trillion. Bitcoin is edging closer to the significant $100K milestone, while major altcoins are also rallying. Notably, “Zombie tokens“—a term introduced by Forbes—are making unexpected gains, igniting debates about their value and utility.
What Are Zombie Tokens? Forbes Identifies Crypto’s Walking Dead
In April 2024, Forbes released a report identifying 20 cryptocurrencies as Zombie tokens, describing them as projects with minimal utility and user activity. These included well-known assets like Ripple (XRP), Cardano (ADA), Monero (XLM), Litecoin (LTC), Bitcoin Cash (BCH), and Ethereum Classic (ETC). Forbes compared these projects to the undead—technically operational but lacking vitality.
Ripple Labs, the creator of XRP, was labeled a leading player in this category. Despite XRP recording $2 billion in daily trading volume at the time, Forbes argued its primary function remains speculative. The report acknowledged XRP’s $36 billion market value, stating, “It’s largely useless, but the XRP token still sports a market value of $36 billion, making it the sixth-most valuable cryptocurrency.”
Ripple (XRP): From SWIFT Rival to Speculative Heavyweight
Ripple initially launched XRP to challenge SWIFT, the global banking network known for its high costs and slow processing times. While XRP offered faster, low-cost transactions, it failed to unseat SWIFT’s dominance. Instead, its valuation increasingly relied on speculative trading, generating minimal revenue from real-world use.
However, since the Forbes report, XRP has climbed to become the third-largest cryptocurrency by market capitalization, signaling renewed interest and market confidence. As of now, XRP trades at $2.63, showing strong month-over-month growth.
Zombie Tokens Gain Despite Utility Concerns: XRP, ADA, and XLM Shine
Ripple isn’t the only zombie token experiencing gains. Cardano (ADA) recently hit $1.23, a level last seen in 2022, despite a 4.76% dip in the past 24 hours. Over the week and month, ADA has surged by 28% and 271%, respectively.
Similarly, Stellar (XLM) reached $194.46, posting a 12.18% daily gain and climbing 26.9% over the past week. Ethereum Classic (ETC) and Litecoin (LTC) have also participated in this rally, highlighting the speculative fervor in the market.
How Trump’s Re-Election is Fueling Crypto’s Record-High Surge
Donald Trump’s re-election as U.S. President is another factor driving the crypto market’s momentum. The news sparked investor confidence, pushing Bitcoin and other cryptocurrencies to new all-time highs. Analysts attribute this rally to optimism about Trump’s perceived pro-crypto stance, which could lead to favorable regulatory developments.
Read also: Ripple CTO Defends XRP: Slams Critics for Focusing on Trivialities
Bitcoin is now approaching the $100K milestone, while the broader market remains on an upward trajectory. The surge has breathed new life into speculative assets like Zombie Tokens, with many achieving unprecedented price levels.
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