As a seasoned crypto investor with a knack for spotting opportunities amidst market turbulence, I’ve seen my fair share of ups and downs in this ever-evolving space. The recent surge in XRP, reaching its highest level since August 9, has certainly caught my attention. With a recovery of almost 60% from the crypto Black Monday low, it’s safe to say that XRP is leading the pack among top ten cryptocurrencies.
As a seasoned cryptocurrency investor with over a decade of experience under my belt, I have witnessed countless market fluctuations and trends. In my opinion, XRP‘s recent performance this week has been nothing short of impressive. For two consecutive days, it has shown resilience and strength, reaching its highest level since Aug. 9 – a testament to its potential and robustness in the ever-evolving crypto landscape. It’s always fascinating to see cryptocurrencies like XRP demonstrate such remarkable growth, especially when they have been through tough times. I’ve learned that the market can be unpredictable, but the smart money is on those who stay patient and keep a close eye on the trends.
On Tuesday, Ripple (XRP) surged to reach $0.60, representing a nearly 60% rise from its “Crypto Black Monday” low of $0.3817. This upswing positions XRP as the top-performing cryptocurrency among the top ten digital currencies since the market downturn in early August.
A few experts are hopeful regarding XRP‘s potential future developments. On their platform, JackTheRippler shared an analysis featuring a technical graph illustrating Ripple’s past price fluctuations. They proposed that the token might experience a significant surge, similar to a volcanic eruption, if history mirrors itself once more.
Prepare for a potential explosion similar to a volcano! Should history follow its pattern within the cryptocurrency market, we might witness an astonishing increase of approximately 60,000%. Buckle up!
— JackTheRippler ©️ (@RippleXrpie) August 20, 2024
Analyst JD noticed that Ripple’s chart showed a golden cross formation, a technical pattern that historically indicates significant price increases. This formation takes place when the short-term (50 days) and long-term (200 days) moving averages of an asset intersect, which happened for Ripple on August 6th.
Ripple’s SEC ruling and RLUSD stablecoin launch
In a significant turn of events, Ripple Labs has managed to win a more advantageous resolution in its prolonged legal dispute with the Securities and Exchange Commission. Judge Analisa Torres mandated the company to pay a reduced fine of $125 million, which is substantially lower than the $2 billion initially demanded by the SEC.
This ruling could pave the way for companies like BlackRock, Franklin Templeton, and Fidelity to file for a spot Ripple ETF. Such an ETF would be notable, given that the SEC recently rejected applications for Solana (SOL) ETFs, citing security concerns.
A Ripple ETF could make sense, as XRP is the seventh-largest cryptocurrency with a market cap of over $33 billion and trading volumes exceeding $1.4 billion. Unlike Ethereum (ETH), Ripple does not offer staking, meaning that investors would only lose the expense ratio.
As a crypto investor, I’ve noticed that Ripple’s long-term growth has been relatively slow, with the coin currently sitting about 70% below its peak value of $1.96. This might make it less enticing for ETF issuers due to its lower potential returns. Furthermore, the XRP Ledger seems to have modest appeal among developers, as I’ve observed only around $275,000 worth of assets being utilized on it.
Supporters of XRP are eagerly anticipating the imminent launch of RLUSD, a stablecoin that’s currently undergoing beta trials. RLUSD is expected to be a regulated digital currency, maintaining a fixed value equal to one US dollar.
The potential issue arises from the possibility that the new stablecoin might struggle to become popular due to Tether’s (USDT) widespread use. For instance, PayPal’s PYUSD and Tron’s USDD have relatively small market caps of $746 million and $871 million respectively, demonstrating the tough competition in trying to capture a larger share.
1. Ripple (XRP) might see additional gains due to broader economic events, particularly the predicted reduction in Federal Reserve interest rates and the continued fall of the U.S. dollar. The U.S. dollar index has dropped from its yearly peak at 106 to 101.7, a decrease that often favors riskier assets like cryptocurrencies.
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2024-08-20 17:56