Ripple (XRP) Price Struggles to Surpass $0.50
XRP struggled to surpass $0.50 during the past three weeks.
As a result of Ripple’s partial victory over SEC the price of XRP increased beyond $0.52 as it is trading at $0.72.
Ripple’s victory over the SEC may lead to more institutional investment in XRP.
Keywords: Ripple price, XRP price, Ripple investors, Buy XRP, Buy Ripple
Introduction
Despite Bitcoin’s current upward price momentum, the value of Ripple (XRP) remains depressed as it failed to rise above $0.50 within the first week of July. The market awaits to see if Ripple’s partial win over the US Securities Exchange Commission (SEC) lawsuit will sustain XRP’s current bullish momentum.
Today we shall discuss the possibility of Ripple price to rise or fall depending on changes in market conditions and other related factors.
Ripple Stagnant at $0.48
During the past two weeks the XRP price hovered between $0.46 and $0.48 giving no clear signal whether it will rise or fall further. This sideways movement within a channel shows that XRP retail investors may be losing interest in the coin. However, on-chain data shows that XRP whales could purchase more of the coins, thereby creating a strong support level.
The upward price pressure which the whale investors are putting on XRP may keep the bears at bay. However, there is still high potential for a pullback. The good thing is that the whales have been accumulating some XRP coins since the third week of June. For example, within the first week of July whale investors that owned between 10 and 100 XRP coins increased their holdings by $280 million as their wallet balances reflect.
Read also: Ripple Surges 96% After Partial SEC Lawsuit Victory
At a time when the XRP price was $0.47 their new investment was worth more than $131 million. Such a large accumulation within a short period shows that XRP holders are determined to hold more and push its value up which can also wade off a potential XRP market correction.
Retail User Activity is Falling
Despite the increase in whale investors, it seems that the interest of institutional investors in XRP has decreased within the last two weeks. For example, there was a sharp decrease in XRP daily user activity during the first week of July. Specifically, on July 5 the network recorded 128,110 Active Addresses, a decrease of about 85% from that of the previous week where there was a recent high of 867,820.
As a note, the active wallet addresses summarize the number of wallet addresses that carried out transactions within the last seven days. A decrease in the metric is a bearish signal while an increase is bullish. Therefore, the recent decrease in the number of active wallet addresses could indicate a possible market correction.
Conflict XRP Market Signal
The on-chain data for XRP has been showing conflicting signals on its possible price movement. The data signals that the XRP price may stagnate around $0.46 unless there is a strong catalyst to push its value up or down.
The neutral market sentiment the market had in the past weeks indicated that Ripple investors might hold onto their XRP coins until its price rises above a certain level. Basically, the MVRV ratio indicates that most of the XRP investors who purchased the coin within the last 30 days have an unrealized loss of around 2%.
Accordingly, such people would wait for the value of XRP to rise above $0.49 cents to get a positive return on their investment. On the other hand, the market felt that if the XRP price would rise above $0.50 the next resistance level would be at $0.52.
Current XRP Price Performance
We have discussed the various XRP permutations based on its previous price performance. Let’s put this into perspective based on the current market situation. At the time of writing, 15 July, XRP has a value of $0.72 meaning that it managed to break above both the $0.50 and $0.52 levels as the following diagram indicates.
XRP Price - CoinGecko
As the diagram shows the XRP price is $0.72 and the market is showing an upward price momentum. Although its value has fallen by 8.1% within the last 24 hours, it has overall gained by 0.52% within the last seven days.
Ripple ‘s partial victory over the US Securities and Exchange Commission may become the catalyst that XRP requires to sustain its upward momentum. The U.S. Southern District of New York Court ruled that the presence of Ripple’s XRP tokens on exchanges and through algorithms does not constitute investment contracts. The court further asserted that the institutional sale of XRP does not violate the United States’ securities laws.
Read also: Why People think SEC is Indecisive on Which Crypto Assets are Securities
Already, XRP has rallied following Ripple’s partial victory. However, some analysts have argued that Ripple’s ruling has not created clarity on what constitutes a crypto security. As a result of this ruling, Gemini Crypto exchange has promised to list XRP. Therefore, it is likely that an increase in institutional investment in the token may increase its value.
However, XRP already exists on many crypto exchanges that include Gate.io. To buy XRP on Gate.io one should have a verified account and should have a major cryptocurrency like BTC or ETH in his/her account.
With that, a trader can easily convert the major cryptocurrency to XRP. Alternatively, someone can buy Ripple using P2P trading.
Conclusion
Despite the fact that XRP had been struggling to surpass the $0.50 price level it has recently managed to do that. It is currently trading at $0.72 and is expected to rise further. Ripple’s recent partial victory against the SEC might have helped to push the price of XRP upwards.
FAQs on Ripple
What is Ripple?
Ripple, also called XRP, is a cryptocurrency created to support the international payment settlement and exchange . It is mainly used as a means of payment rather than a store of wealth.
Can Ripple reach 1,000 dollars?
It is most unlikely that Ripple will reach $1,000 in the near future. However, it is likely to reach $1,000 after the year 2030. The exact period when Ripple will reach $1,000 depends on the rate at which financial institutions will adopt it.
How much can XRP realistically go?
Ripple is likely to attain a value of $16 by the year 2030. Some analysts believe that the XRP price will be around $0.98 by the end of 2023 and $2.10 by 2024.
Is Ripple a dead coin?
Ripple is one cryptocurrency which is likely to do well in the near future, especially if it wins its case against the United States SEC. Once all the regulatory hurdles are cleared many financial institutions are likely to adopt it.
Is Ripple Safe to buy?
It seems safe to buy Ripple although its value is unlikely to rise much in the near future. However, Ripple is supported by hundreds of viable financial institutions. This makes it a safe investment asset although it is susceptible to high price fluctuations.
