Ripple’s XRP to the Moon: News Analysis and Price Prediction [November 2024]

Monday, 18/11/2024 | 08:31 GMT by Arnab Shome
  • The value of XRP has doubled, reaching $1.2 after a significant surge over the weekend.
  • Traders are optimistic due to bullish technical analysis and future market trends.
xrp

XRP, the cryptocurrency of the blockchain company Ripple, has become the latest cryptocurrency to break out in the wild crypto market. On Sunday, its market value touched $1.2 apiece, a record for the token in the past three years. Although the token's value is still far behind its all-time high of $3.84, achieved in 2018, analysts are predicting a massive upside to this token.

XRP Price Surge: Key Highlights

  • XRP is trading at its 3-year-high

  • The token doubled its value over the last 7 days

  • Its market cap reached almost $66 billion

  • It is now the sixth-largest token in terms of market capitalisation

XRP price in last 1 month; Source: TradingView
XRP price in last 1 month; Source: TradingView

The demand for Bitcoin and meme tokens surged dramatically after Donald Trump's victory as the 47th President of the United States. However, the upward momentum of XRP remained timid.

The latest XRP rally started late last week as the token peaked at $1.2 only to correct. However, the bulls maintained their value above $1, and the token is now rallying again, reaching $1.17 at the time of writing.

Position of XRP in the market; Source: Coinmarketcap
Position of XRP in the market; Source: Coinmarketcap

What is the Driving the XRP Rally?

Out of many drivers of the overall cryptocurrency, XRP received a boost last Thursday when 18 US states filed to sue the Securities and Exchange Commission (SEC) and its commissioners, including Gary Gensler, accusing them of unconstitutional overreach in the crypto industry.

Notably, Gensler is already facing a lot of heat as Trump has been elected as the incoming US President and has hinted at his resignation. Several crypto-friendly names are also making rounds across media as the expected replacement of Gensler at the top regulatory role.

Although XRP has not been directly mentioned in the lawsuits, a crypto-friendly SEC might boost Ripple. Earlier, the SEC sued Ripple, labelling XRP as unregistered securities. The court ruled partially in favour of both, only finding that the XRP sales to the institutions violated American securities laws. The court also fined Ripple $125 million, against which the blockchain company had already appealed.

Furthermore, Trump’s vision to push the local crypto industry might also benefit Ripple-linked XRP, which is one of the few tokens directly linked to an established American crypto company.

Key Drivers of XRP Price:

  • 18 US states suing SEC and its Commissionaires, including Chair Gensler

  • Crypto-friendly outlook of President-elect Donald Trump

  • Being the token of Ripple, an American blockchain company

Big Bets of XRP Futures Traders

The volatility of XRP in recent days has also pushed future traders to act. On Sunday, the open interests of the XRP and USD-denominated futures contracts surpassed a record 2 billion tokens, worth nearly $2 billion at the current market price. However, traders are slightly biased towards short positions, with 51 per cent of traders betting against a further price increase of XRP.

XRP price and open interest; Source: CoinGlass
XRP price and open interest; Source: CoinGlass

Open interest refers to the total number of outstanding unsettled derivatives contracts. Despite derivatives trading being a zero-sum game, a rise in open interest and a price rise in the underlying asset typically indicate the flow of new money into the market and a bullish trend. Conversely, open interest falls with a rise in the underlying asset's value, which indicates a rally driven by short covering rather than new buying, which signals a weaker trend.

XRP Is Not a Memetoken

The recent cryptocurrency rally also significantly inflated the prices of DOGE and other meme tokens, which have no practical use. XRP, on the other hand, has many real-world applications.

Being the native cryptocurrency of the Ripple blockchain, XRP facilitates cross-border transactions between businesses using the Ripple network. It is also used to pay transaction fees on the XRP ledger.

Now, Ripple’s expanding partnerships across borders for using its blockchain are also pumping anticipation around the future value of XRP. Earlier this year, Ripple obtained a license in Dubai.

XRP Price Action

The technical analysis of XRP is also very bullish. The token is trading significantly above the 50-day and 200-day exponential moving averages (EMAs), which confirms a bullish trend.

Additionally, the recent rally at about $1.2 can also push XRP to breach the September 2021 record of $1.4, which can only result in a further price breakout above $1.5. However, if XRP fails to hold the resistance at $1, it could fall further to $0.9, eventually putting the $0.82 level into play.

XRP News and Price: Frequently Asked Questions (FAQs)

Are XRP and Ripple the same?

XRP is the token issued by the California-based blockchain company Ripple. The token is used in various applications on the Ripple blockchain, including the settlement of cross-border payments, payment of transaction fees, etc.

Can XRP reach $10?

XRP is trading with a bullish sentiment now at about $1.2. At its peak in 2018, the token reached $3.84. Although not impossible, a breakout of $10 would likely be something the token would not achieve until 2030. According to the price prediction by DigitalCoinPrice, XRP couple trade in the range of $7.72 and $8.56, with an average price of $8.42 in 2030.

Can XRP reach $5?

XRP is likely to reach $5 in the upcoming years, but traders must consider its volatility and associated risks. DigitalCoinPrice predicts XRP will trade in the range between $7.72 and $8.56, with an average price of $8.42. However, Coincodex remains conservative putting the range between $1.23 and $2.88, averaging $1.80.

Who owns XRP?

Unlike decentralised cryptocurrencies like Bitcoin and Ethereum, the Ripple blockchain is centralised. Thus, the company behind the blockchain, Ripple Labs, controls the creation and distribution of XRP. However, many retail and institutional investors also hold XRP.

Will XRP explode?

The value of XRP has already exploded over the last few days. The token has more than doubled its value over the past 7 days and has now been trading at about $1.2, with further upside to its rally.

Is XRP a security?

No, XRP is not a security. The SEC alleged XRP to be an unregistered security and sued Ripple Labs, but the court relived the company, ruling that it did not violate any securities rules in issuing and distributing XRP to retail investors. However, the court found violations in institutional sales and penalised Ripple $125 million, against which the company appealed.

Does Trump Favour XRP?

Although President-elect Donald Trump did not endorse XRP directly, his policy stance towards crypto will surely benefit XRP. Trump is poised to bring crypto-friendly regulation, which will directly benefit XRP. Further, his ambition to promote American crypto companies will also benefit XRP, one of the few American companies that use cryptocurrencies.

XRP, the cryptocurrency of the blockchain company Ripple, has become the latest cryptocurrency to break out in the wild crypto market. On Sunday, its market value touched $1.2 apiece, a record for the token in the past three years. Although the token's value is still far behind its all-time high of $3.84, achieved in 2018, analysts are predicting a massive upside to this token.

XRP Price Surge: Key Highlights

  • XRP is trading at its 3-year-high

  • The token doubled its value over the last 7 days

  • Its market cap reached almost $66 billion

  • It is now the sixth-largest token in terms of market capitalisation

XRP price in last 1 month; Source: TradingView
XRP price in last 1 month; Source: TradingView

The demand for Bitcoin and meme tokens surged dramatically after Donald Trump's victory as the 47th President of the United States. However, the upward momentum of XRP remained timid.

The latest XRP rally started late last week as the token peaked at $1.2 only to correct. However, the bulls maintained their value above $1, and the token is now rallying again, reaching $1.17 at the time of writing.

Position of XRP in the market; Source: Coinmarketcap
Position of XRP in the market; Source: Coinmarketcap

What is the Driving the XRP Rally?

Out of many drivers of the overall cryptocurrency, XRP received a boost last Thursday when 18 US states filed to sue the Securities and Exchange Commission (SEC) and its commissioners, including Gary Gensler, accusing them of unconstitutional overreach in the crypto industry.

Notably, Gensler is already facing a lot of heat as Trump has been elected as the incoming US President and has hinted at his resignation. Several crypto-friendly names are also making rounds across media as the expected replacement of Gensler at the top regulatory role.

Although XRP has not been directly mentioned in the lawsuits, a crypto-friendly SEC might boost Ripple. Earlier, the SEC sued Ripple, labelling XRP as unregistered securities. The court ruled partially in favour of both, only finding that the XRP sales to the institutions violated American securities laws. The court also fined Ripple $125 million, against which the blockchain company had already appealed.

Furthermore, Trump’s vision to push the local crypto industry might also benefit Ripple-linked XRP, which is one of the few tokens directly linked to an established American crypto company.

Key Drivers of XRP Price:

  • 18 US states suing SEC and its Commissionaires, including Chair Gensler

  • Crypto-friendly outlook of President-elect Donald Trump

  • Being the token of Ripple, an American blockchain company

Big Bets of XRP Futures Traders

The volatility of XRP in recent days has also pushed future traders to act. On Sunday, the open interests of the XRP and USD-denominated futures contracts surpassed a record 2 billion tokens, worth nearly $2 billion at the current market price. However, traders are slightly biased towards short positions, with 51 per cent of traders betting against a further price increase of XRP.

XRP price and open interest; Source: CoinGlass
XRP price and open interest; Source: CoinGlass

Open interest refers to the total number of outstanding unsettled derivatives contracts. Despite derivatives trading being a zero-sum game, a rise in open interest and a price rise in the underlying asset typically indicate the flow of new money into the market and a bullish trend. Conversely, open interest falls with a rise in the underlying asset's value, which indicates a rally driven by short covering rather than new buying, which signals a weaker trend.

XRP Is Not a Memetoken

The recent cryptocurrency rally also significantly inflated the prices of DOGE and other meme tokens, which have no practical use. XRP, on the other hand, has many real-world applications.

Being the native cryptocurrency of the Ripple blockchain, XRP facilitates cross-border transactions between businesses using the Ripple network. It is also used to pay transaction fees on the XRP ledger.

Now, Ripple’s expanding partnerships across borders for using its blockchain are also pumping anticipation around the future value of XRP. Earlier this year, Ripple obtained a license in Dubai.

XRP Price Action

The technical analysis of XRP is also very bullish. The token is trading significantly above the 50-day and 200-day exponential moving averages (EMAs), which confirms a bullish trend.

Additionally, the recent rally at about $1.2 can also push XRP to breach the September 2021 record of $1.4, which can only result in a further price breakout above $1.5. However, if XRP fails to hold the resistance at $1, it could fall further to $0.9, eventually putting the $0.82 level into play.

XRP News and Price: Frequently Asked Questions (FAQs)

Are XRP and Ripple the same?

XRP is the token issued by the California-based blockchain company Ripple. The token is used in various applications on the Ripple blockchain, including the settlement of cross-border payments, payment of transaction fees, etc.

Can XRP reach $10?

XRP is trading with a bullish sentiment now at about $1.2. At its peak in 2018, the token reached $3.84. Although not impossible, a breakout of $10 would likely be something the token would not achieve until 2030. According to the price prediction by DigitalCoinPrice, XRP couple trade in the range of $7.72 and $8.56, with an average price of $8.42 in 2030.

Can XRP reach $5?

XRP is likely to reach $5 in the upcoming years, but traders must consider its volatility and associated risks. DigitalCoinPrice predicts XRP will trade in the range between $7.72 and $8.56, with an average price of $8.42. However, Coincodex remains conservative putting the range between $1.23 and $2.88, averaging $1.80.

Who owns XRP?

Unlike decentralised cryptocurrencies like Bitcoin and Ethereum, the Ripple blockchain is centralised. Thus, the company behind the blockchain, Ripple Labs, controls the creation and distribution of XRP. However, many retail and institutional investors also hold XRP.

Will XRP explode?

The value of XRP has already exploded over the last few days. The token has more than doubled its value over the past 7 days and has now been trading at about $1.2, with further upside to its rally.

Is XRP a security?

No, XRP is not a security. The SEC alleged XRP to be an unregistered security and sued Ripple Labs, but the court relived the company, ruling that it did not violate any securities rules in issuing and distributing XRP to retail investors. However, the court found violations in institutional sales and penalised Ripple $125 million, against which the company appealed.

Does Trump Favour XRP?

Although President-elect Donald Trump did not endorse XRP directly, his policy stance towards crypto will surely benefit XRP. Trump is poised to bring crypto-friendly regulation, which will directly benefit XRP. Further, his ambition to promote American crypto companies will also benefit XRP, one of the few American companies that use cryptocurrencies.

About the Author: Arnab Shome
Arnab Shome
  • 6602 Articles
  • 96 Followers
About the Author: Arnab Shome
Arnab is an electronics engineer-turned-financial editor. He entered the industry covering the cryptocurrency market for Finance Magnates and later expanded his reach to forex as well. He is passionate about the changing regulatory landscape on financial markets and keenly follows the disruptions in the industry with new-age technologies.
  • 6602 Articles
  • 96 Followers

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