Is XRP a Good Investment? Insights and Analysis for 2024

Ripple (XRP) is one of the most often discussed tokens on the market. Some avoid it, while others love it. The fact is, it has remained on the list of top-ranking cryptos for more than ten years.

Moreover, Ripple has been part of the crypto world almost from the beginning. In fact, it emerged shortly after Bitcoin and before Ethereum was created. Ever since its appearance, speculation has been rife around XRP. With the latest SEC case proceedings, this token has once again made it to the spotlight.

The U.S. Securities and Exchange Commission (SEC)’s case against Ripple has held the investor’s attention from the first day. The SEC sued the company in 2020, and the court hearings still continue. However, it’s important to begin by examining the details to grasp the specifics of this case and evaluate if the XRP token is a good investment right now.

Don’t worry; it’s not a long tale. Still, if you are considering purchasing this token, stay with us and learn everything about it, including how you can buy it and whether it’s the right time to invest in it.   

Why Is XRP a Good Investment

Ripple Labs created its native token – XRP, to transform the financial world. The company intended this token to be more than your average crypto. It wanted to offer people an efficient and cheaper alternative to the existing banking systems.

Ripple enables users to send XRP tokens internationally much faster than they can transfer money with the bank. Moreover, the transaction costs are much lower than the medium banks or other companies’ fees. Thus, sending money anywhere and anytime worldwide is almost as easy as sending a message. 

The main attraction of cryptos is the ability to transfer them without intermediaries and the fact that only owners have control over their assets. Thus, no one can freeze your accounts or ask you to pay exorbitant money transfer fees. 

Controlling money flow gives people power, and it follows that ever since the appearance of the first cryptos, many governments and central banks have objected to them most strenuously, even going as far as to prohibit them. Besides, cryptos have always seemed a bit mysterious, shrouded with secrets due to the anonymity of their creator – Satoshi Nakamoto and many people still view them with suspicion. 

Ripple XRP is no exception – some investors see this token as an answer to faster and more secure transactions, while others think it is an elaborate scam that will burn out soon. Consequently, the first ones steadfastly continue investing in XRP, and others advise avoiding it as a token with no future. 

But whom to believe? And is XRP a good investment, or is the fan’s belief in it a big mistake? Let’s review the facts to determine the answer.

XRP Token’s Journey 

The XRP coin experienced both astounding highs and lows. It also suffered some prolonged bearish periods. The token appeared on the market in 2013, but it first gained traction in 2017. 

XRP became even more popular after the company listed it on various trending exchanges. Consequently, the token’s price skyrocketed and hit new highs in 2018.

After Ripple launched xRapid, its token’s visibility increased tenfold. The former is a liquidity solution created for banks that use Ripple’s token as a bridge. 

xRapid was Ripple’s solution to revolutionise money transfer, not only between two people but also within the banking system. The market went wild, with XRP’s price soaring by 1820 per cent. However, in the following months, it shaved off 93% of its gains again.   

The next peak came in 2021. During the bull market, the token hit a high again, this time gaining 710% in a six-month period, but again, a downtrend followed its rise. The latter was partially because of the SEC’s case against the Ripple. Investors often avoid the companies and products involved in legal battles. 

According to the SEC’s complaint, the company offered its customers unregistered products. It also questioned XRP sales as a security. 

The Judge’s Verdict on the SEC’s Accusations

Judge Analisa Torres of the U.S. District Court for the Southern District of New York announced a decision about the SEC case against Ripple Labs and its executives in July 2023. She deemed institutional sales as security transactions, but the verdict about the sales on crypto exchanges was different. 

While the judge decided that the company hadn’t broken the law by selling its tokens to various exchanges for retail investors, she ruled that selling XRP to institutional investors violated existing regulations. 

As a result, Ripple came out of this lawsuit as a partial winner, which helped alleviate some of the investors’ concerns. Moreover, this case was important in the history of crypto regulations because it showed that the context of their sale might determine a digital token’s classification. 

The SEC couldn’t appeal the ruling due to the Judge’s decision, and in October, the organisation decided to withdraw the complaint against Ripple’s CEO and executive chairman. 

These three wins bolstered the XRP’s price, with its market capitalisation hitting 29 billion USD. This digital asset is still rallying. Over the last 24 hours, its price jumped by 3.5%. 

While some investors are suspicious about the token’s strong recovery and expect its price to fall again, others are ecstatic about this surge. The coin became trending again, with thousands of users speculating about its future price trajectory on various forums. But is XRP crypto a good investment? 

What To Expect From XRP In The Coming Months

Experienced investors know that choosing a new venture for investing is a long and sometimes tedious process of sifting through the vast information. Before deciding to purchase, they must analyse the market trends and conditions, news developments involving the chosen asset and even global politics. 

Learning about Ripple’s price fluctuations and long periods of downtrend, many people ask: Why is XRP a good investment? What makes it worth purchasing? Meanwhile, those who have already bought this token are contemplating whether its winning streak will continue.   

Some analysts believe that the company’s partial win against the SEC might bolster its token and sustain a rally in the coming weeks. Thus far, this legal battle has significantly influenced the token’s price and performance. So, investors should observe the new developments carefully, especially considering that the dispute still continues. If the company loses another round, the XRP coin price will plummet again. 

Currently, traders await one more ruling about the 2 Billion USD fine the SEC is asking Ripple for. The company protested that this amount was excessive compared to the committed offence. The SEC stood by its decision, and the case went to the Judge again. The final ruling will influence Ripple’s position in the cryptocurrency market. Unfortunately, it might go both ways, so Ripple price predictions don’t seem reliable right now. 

While price forecasts offer some insight into the crypto market, XRP price predictions are just that – predictions, and it’s hard to determine whether they prove true in the long term, especially when it comes to such volatile assets as the cryptos.

Analysts Predict Two Scenarios: Which One Is More Feasible? 

Over the years, many analysts and market researchers have forecasted that Ripple’s native token price would skyrocket. For example, Thomas Kralow, a crypto hedge fund manager, claimed that it would reach 30 USD in 2023. However, this prediction never came true. 

In fact, Ripple’s market cap would have to hit 3 trillion USD for its price to increase so much. This figure equals the double market cap of all digital assets combined, meaning this prediction belongs to fantasy. 

Instead of building sand castles and making decisions based on highly exaggerated forecasts, investors should prepare for more realistic possibilities. The crypto market is susceptible to news and short-term or long-term trends. In the case of Ripple, we should add the Judge’s upcoming ruling to the list. 

Remember that digital currencies exist only in a virtual space. So, in most cases, the traders’ sentiment influences their value. The recent SEC ruling has already set the price fluctuations in the token. Even though the XRP is bullish now and its value is increasing, it might reverse the course just as easily. 

Besides, the overall crypto market sentiment also impacts the token. If the market turns bullish, the XRP will also benefit. Usually, the market’s rally benefits all currencies if there aren’t additional reasons for their downfall. 

While most analysts predict bullish runs, some contemplate other scenarios, namely, that the Ripple price might suffer after the court’s ruling. The traders might lose interest in the token, in which case, this crypto asset will decline again. It might also plummet if the market moves into the red territory.  

In the end, it all depends on the market’s course and the court proceedings.

Is XRP a Good Investment?

Discussions about Ripple using the token for its cross-border payment system also influence XRP’s price. Even if that happens, the company will settle the payments in fiat value. So, the crypto’s price shouldn’t affect the system’s functionality. 

Before starting the current bullish run, XRP shaved off almost 15% this year. Traders worried about that because other cryptocurrencies were soaring. Some experts thought that investors preferred to invest in other tokens, causing the Ripple coin’s price decline. 

That’s not surprising, considering all the uncertainties surrounding this token. Numerous other opportunities on the market seem more safe options. 

As mentioned, this changed with the rally, which greatly bolstered the Ripple XRP. However, right now it’s hard to answer the eternal question: Is XRP a good investment or not? There are too many possibilities to consider. Investors should wait until the court ruling and see how the market reacts, or at least avoid large investments in this currency. 

While there is a good chance that its price will skyrocket, the losses might be devastating in case of a bear run. So, you should consider carefully when and how much to invest in this token.  

FAQ

Is XRP a good investment? 

Despite all the speculations, this crypto stands strong, and it will likely weather the bearish run if Ripple comes out as the loser in the next ruling. 

Can XRP reach $100?

For that to happen, the token’s market cap would have to soar four times larger than the current value of all digital assets combined. While the crypto world offers many surprises, it’s an unlikely scenario for now. 

What Will the XRP price be in 2025? 

The crypto market is volatile and subject to many hard-to-re forecast factors. As a result, determining the price of any crypto ahead of months or years is challenging. However, XRP might continue growth in the coming years, especially if it wins the SEC case. 

What will XRP be worth in 2030?

As we have mentioned, it’s hard to determine the token’s price ahead of years. However, considering the historical performance of XRP and its current condition, it’s unlikely that its price will grow significantly in 2030 unless it achieves some spectacular victory in the SEC case. 

Is XRP a dead coin? 

Definitely not. It still has lots of juice left in it. Besides, Ripple investors are rallying lately to bolster the token. 

How to buy Ripple XRP?

Buying this token is quite easy. You just need to follow these instructions: 

Choose a reliable crypto exchange – you can purchase XRP on such platforms using other cryptos and fiat currencies.  Create your account: you will need to go through the verification process.  Deposit your funds: most platforms offer several ways to do that, you can send your cryptos into a new wallet or pay with a card.  The next step is placing your order. Choose the amount of XRP you want to purchase and place the buy order. You can move your tokens into a wallet or keep them on the exchange. 

However, you should carefully consider market conditions, new trends, and Ripple XRP’s performance before purchasing it.

The post Is XRP a Good Investment? Expert Insights for 2024 appeared first on FinanceBrokerage.