Key Insights:
XRP price could achieve a quasi-stablecoin tag as it eventually returns back to $0.5, despite all the ups and downs.
The factors limiting its growth are regulatory pressure, its lack of integration into major crypto ecosystems, and its executives' inability to focus on its development.
Despite all issues, as the clouds of uncertainty disperse, experts expect a rally in its price in the near future.
XRP Price Trends Since 2014
XRP has been stuck near the $0.5 price since mid-crypto-winter in October 2022. The price reached this zone slowly from the lows of 2020. Since then, it has stayed at these levels. Whether there is a market rally or a slump, the price always returns to the half-dollar price level.
Furthermore, during the broad market rally in late 2023 and early 2024, when Bitcoin went almost double, memecoins reaped 13x gains, and Solana skyrocketed from $20 to $200, the price of XRP stayed at the same level. In the last year, when almost every crypto rallied, XRP saw its price lose 3%.
XRP vs SOL (1 Year)
No matter how much the price gained during a bull market, it would eventually return near $0.5 after the first correction.
As crypto markets slump due to profit booking, whale selling, and regulatory factors, the price has again found its way near $0.5, unsurprisingly.
There are many factors keeping XRP pinned down at $0.5. Some arise from within the XRP ecosystem and Ripple, while others come from external sources like the markets and the regulators.
Ripple, which built and managed the XRP ecosystem, was often entangled by the SEC and other US regulators. Unlike other chains, which engaged in extensive developmental activity, Ripple executives struggled to find time outside their legal troubles.
Unlike Solana memecoins or ERC-20 coins, XRP is not part of a large ecosystem that could facilitate easy buying and selling.
With ecosystem support, obtaining crypto by simply swapping it with another similar coin via a DEX is easier.
XRP is on a very different kind of blockchain, with very few bridges to other chains, so it can sometimes become difficult to buy.
Despite being a historic case, the Ripple vs SEC case dragged on for very long time. SEC filed the case in December 2020 for crypto sales that was way back in 2013. The delay in filing the case disturbed the future aspects of XRP and caused exchanges like Coinbase to delist the crypto in the fear of regulatory heat.
Even during the case, the SEC restricted the release of statements from one of its executives, Director William Hinman, who provided critical insight into the classification of crypto, often favoring large cryptocurrencies such as Bitcoin and Ethereum.
Further, though Ripple won part of the case in June 2023, another part, which relates to institutional sales, still drags on. Lately, there have been rumours that the SEC might be looking to settle its case against XRP with a fine of $100 million, a drop of 90% from its earlier demand of $2 billion in fines.
The journey of XRP crossing $1 is inevitable. However, the crypto needs full legal clarity before it embarks on a bullish journey.
Bitcoin and Ethereum's bull rally in 2024 largely depended on whale buying and even more on institutional investors. However, in the case of XRP, institutions hesitate because of the ongoing case between its parent firm Ripple and the SEC. Those seen buying XRP, such as BlackRock and JP Morgan, have only bought a handful of coins. Even if they buy more, a few institutional investors won't make any large difference.
Many experts have been impressed by XRP's winning streak against the SEC, with the latest win possibly being in the case of institutional sales.
BitBoy, a well-known crypto influencer, expects XRP to cross $35 if Ripple goes public with an IPO.
Bitrue, a well-known crypto exchange, has recently urged its users to go "all-in" to XRP.
BarriC, a crypto analyst, has charted a path for XRP, saying the crypto might get ridiculed in the present and in the near future, but as the price increases towards $5 and more, people will seriously consider it as a lucrative investment.
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