Ripple (XRP) had a 15% price drop within the last few days following the United States appeal against a recent ruling that had cleared Ripple labs of any wrongdoing. The following graph shows XRP’s recent price downswing within October.
Ripple Price Movement – Coingecko
As the picture indicates, XRP has had a sharp price drop since 30 September. Currently, a demand base has developed. However, due to the large number of candlesticks that have formed the demand zone is likely to be a weak one. In fact, it is likely that the coin may have a weak uptrend within the coming days. Despite a recent price surge XRP’s performance has been depressed. For example, the coin price has fallen by 11.1% within the last two weeks.
According to some analysts the recent XRP drawdown has presented a great opportunity for crypto investors to buy the dip. This is because XRP whale activity hints on a possible price surge unless there are strong regulatory hurdles. Despite the on-going battle between Ripple and the U.S SEC whales have continued to amass XRP. According to Santiment, XRP has had large transaction volumes within the last few days. Specifically, XRP transaction volume reached $2.39 billion, the largest within the last 8 months.
XRP Whale Activity – Santiment
However, some analysts believe that such large transactions may represent attempted market manipulation by whales. The filing for XRP spot ETFs in the United States may help to increase the legitimacy of the cryptocurrency.
Despite XRP’s recent strong price action, the United States SEC’s appeal on a recent Ripple vs. SEC ruling may dampen the market’s mood. Basically, that has created much uncertainty among crypto investors. This legal battle makes the XRP investors cautious, fearing that the worst may occur if the SEC wins the case. As of right now, the future of XRP depends on the outcome of this case.
XRP’s Future: Hope is not Lost
Despite the regulatory challenges Ripple is facing there is great hope that XRP will perform well during the remainder of the year. The value of XRP, currently trading at $0.53 XRP/USDT on Gate.io, may rise in the near future. There are several reasons for such hope.
Many crypto analysts are overly optimistic about the future of XRP. Basically, the majority of them believe that the coin may reach $1,000 within the next few years. And others forecast XRP to reach $270 within the short term. The main reason for such a bullish price prediction is XRP’s utility due to its cross-border payments system. In real terms, XRP has the potential to facilitate large-scale international transactions. This will help to unlock billions of dollars in liquidity which is trapped in cross-border payments.
According to MasonVersluis, a renowned crypto analyst, XRP has the capacity to handle transactions worth trillions of dollars. Based on the XRP checklist the coin can facilitate transactions amounting to $1 trillion per day. The following checklist gives the details.
XRP’s Capacity to Handle $1 Trillion Worth of Transactions – x.com/Masonversluis
The check sheet illustrates the volume of transactions which XRP may handle per day.
Wells Fargo Adopts XRP for Credit Card and Loan Payments
Another factor that will likely contribute to XRP positive price action is its integration into the Wells Fargo Credit Card and Loan Payments system. The integration may boost the XRP utility. For instance, this development enables the Wells Fargo customers to use XRP for debt repayment among other services. More interestingly, the customers can earn some rewards through the XRP Ledger System’s CryptoTradingFund (CTF).
India and UAE Complete Oil Trade Using XRP Ledger
In a move that has enhanced the utility of XRP and its legitimacy both India and UAE have processed some oil transactions using XRP. That move has shown that XRP can facilitate many international transactions. It also shows XRP’s capability to handle large cross border financial transactions without hiccups. In addition, that has given hope to countries that want to reduce their overreliance on the United States dollar. In related crypto news, Ripple has deepened its business relationship with the UAE through its partnership with Dubai International Financial Centre (DIFC). That alliance will likely bolster XRP’s adoption in international financial and trade markets.
XRP Price Prediction
Some analysts contend that XRP is in an uptrend that may lead it to attain new highs in coming months. For instance, CryptoBull, a prominent analyst, has predicted that XRP price may reach a value of $3.31 this year. His prediction is based on XRP’s 2017 bull market trajectory. The analyst believes that the cryptocurrency is in a similar state with the market scenario that existed in 2017.
XRP’s Possible Price Movement – x.com/Cryptobull
This graph shows that XRP is within a symmetrical triangle pattern which gives the cryptocurrency the possibility of breaking above the trendline. However, there is a chance that it may also break down the key support level. If XRP behaves in a way CryptoBull has predicted it can rise by 66,240% to reach $3.31. It can only attain that price level if it breaks above the triangle. The analyst has even predicted that it may surge towards $23.40. However, if it breaks down the lower trendline it may plunge towards $0.11, the Fib 0.0 line. Now, only time will tell if XRP will break out or break down.
