XRP – The first weekend of April and Q2 2019 promises great challenges for the cryptocurrency ecosystem, with Bitcoin on the hunt for new highs this year, after a long latency in the midst of a prolonged and strenuous winter crypto.
The rest of the altcoins have not been left behind and Ripple’s token, XRP, is living one of its best moments in many months. Already in previous opportunities we have warned that the third altcoin of the cryptographic market has been creating higher minimums during the last six months, and that it did not depend to a great extent, on what Bitcoin achieved with prices, unlike others. However, it is clear that XRP has benefited from the growing interest that has been revitalized this week with the whole BTC rally and the ecosystem in general.
At the time of writing, XRP quotes at $ 0.364 per unit, with a surprising 9.53% rise in the last 24 hours that has led to a narrowing of the gap with Ethereum for second place.
Its stock market market capitalization has now crossed the barrier of $ 15 billion dollars in a market where investors are increasingly focused on the altcoins, with the growing decline in BTC dominance but overall volume increase, it must assume that more money will enter altcoins and more importantly XRP, due to its popularity in the space.
XRP Price Prediction: When Will The $0.6 Mark Prevail
The crypto market is once again approaching the psychological barrier of $ 180 billion dollars, which, if once again reached and maintained above, could reinvigorate the prices of all cryptocurrencies in the short term.
Precisely in the short term, we see a totally bullish outlook for XRP according to the 1H chart on Binance. Its price is drawing a predictable trajectory according to Elliot Wave Correction with a maximum in the order of $ 0.38 per token and a minimum in the immediate support points S1 ($ 0.329).
This pattern foresees that for the next hours of the weekend, XRP could reach levels of R1 ($ 0.39), a 7% increase with respect to the price currently quoted.
This scenario has been supported by the Aroon indicator, which is just pointing out that its Uptrend indicator is going through a brief corrective moment in its prices,since its downward trend meter, the Aroon Dowtrend (red line), has no symptoms of rising off the background of the graph.
As for the crypto horizon in the medium term, we can see that the 1D chart for XRP is optimistic. According to the patterns of coincidence between minimum changes to historical maximums versus RSI for the token, we are entering a time where the price should be similar in value to what has been achieved in those past opportunities.
April-May 2018, exactly one year ago, the RSI of XRP reached oversold levels, moments before a bullish change in the price of the token, unforeseen form of $ 0.45 to $ 0.88 in 32 days (+ 96%)
Then later, that same year in the transition of Q3-Q4 2018, the price had another important takeoff when going from levels of $ 0.302 to $ 0.6 (+ 98%) in just 38 days.
As we can see in both scenarios quite similar in time and percentage value, the RSI was in similar averages of overbought (RSI> 80).
This allows us to infer, that just when we have another important rebound of RSI to close levels of overbought, a bullish price impact is about to occur. This would lead XRP to go from the current $ 0.364 quotation to an accelerator of more than 90%, which obviously would allow the token to reach levels again of R1 ($ 0.6) or more.
To confirm this thesis, the average period of momentum for the next 35 days where the top of R1 is expected to occur, we analyze the same scenario with indicators of exponential moving average (EMA).
As we can see, for April 12, approximately, a crossing of EMA 25 with EMA 100 bullish is expected, which could trigger the expected increase in prices for the planned period of 35 days.
Fundamental Analysis of Ripple (XRP)
Originally launched in 2012 as a subsequent iteration of Ripplepay, Ripple is a real-time gross settlement system (RTGS), currency exchange and remittance network.
By using a common ledger managed by a network of independent validation servers that constantly compare transaction records, Ripple is not based on the energy-intensive workload and computation used by Bitcoin.
Ripple is based on a shared public database that uses a consensus process between the validation servers to ensure integrity. These validation servers can belong to any person, from individuals to banks.
The Ripple protocol (token represented as XRP) is intended to allow the direct and instantaneous transfer of money between parties. You can change any currency, from fiat currency to gold and even airline miles.
Ripple (XRP) claims that its avoids the fees and waiting times of traditional banking transactions and even transactions in cryptocurrencies through exchanges.
As a technology, the Ripple platform can have real value and a true story that validates the claims made for its effectiveness. However, the XRP token itself seems to have negligible use cases.
In fact, Ripple had planned to eliminate it gradually, at least until the feverish interest in cryptocurrencies began to take off in 2016.
There are 100 billion XRP tokens that were issued by the Ripple company. At this time, the company promises that this is the total number of XRP (although, technically, there is nothing that prevents them from issuing more tokens in the future).
Its CEO has said today in statements that users who own XRP tokens do not necessarily have control over the platform, confusing statements about the decentralization of the token.
The Ripple shaft and radius design positions XRP in the middle as a tool that is fungible with any currency or digital asset, such as frequent flyer miles. Ripple can settle payment in 3.5 seconds through XRP and have it available for collection.
The use of XRP is totally independent of the Ripple network in general; that is, banks do not really need XRP to transfer dollars, euros, etc., which is what many small investors could be losing when they buy the token.
Ripple (XRP)’s Value Proposition
The value here is the Ripple network itself and its ability to move assets around the world quickly, rather than in the XRP token.
Banks can use Ripple software to exchange money between different foreign currencies. Currently, this is usually achieved using SWIFT, a system that is cumbersome and is based on banks having separate accounts in each country they work. Ripple says it has registered more than 100 banks (compared to 11,000 SWIFT financial institutions), including American Express.
Ripple also maintains a list of trusted unique (UNL) nodes that is intended to protect against potentially malicious or insecure validation servers. The UNL is the one that controls the rules of the network, presenting an enigma: On the one hand, it protects against problematic validators, but, in theory, a regulatory agency or a government could enter and force a change that is not necessarily desirable or is downright invasive.
In addition, due to a FinCEN infringement and fine in 2013, Ripple has updated its policies and will only recognize and recommend gateways that comply with financial regulations.
RIpple (XRP): Catalysts for Prognostic Growth
There are two main catalysts that will lead to the realization of the XRP growth forecast. First, there is the concept of “traction” that is anchored in the “start lean” principle. This factor represents the essence of the future valuation of XRP.
It is important to keep in mind that it is not related to the perspective of how investors see this investment in Cryptocurrency in particular. But rather about the potential of Blockchain to start small and grow organically over time as developers adhere to the promises of the roadmap as more users and investors join the platform and Token.
This is the main catalyst for XRP growth, since it chronologically takes Ripple’s growth into account as it moves along its roadmap. In addition, it has been shown that Ripple and its native XRP token have become popular over time.
Second, there is the aspect of an increase in institutional investors that inject massive flows of capital into XRP as a Digital Asset.
Due to investor’s skepticism, most of them would seek to invest in XRP instead of alternative cryptocurrencies to protect themselves from the uncertainties and risk environments that lead to volatilities. Most of these investors are also high-level individuals with links to Wall Street.
Coinbase And Ripple (XRP)
XRP was recently included in Coinbase Pro against trading pairs like BTC, USD and EUR. The listing so far has had a very limited effect on the price.
It is not certain if Ripple is using XRP to make Pump and Dump schemes, for accusations of this type recently. However, a cryptocurrency is expected to begin to grow gradually as its use grows within Coinbase.
Ripple (XRP): JP Morgan Competition
Ripple recently saw tough competition, as investor giant JP Morgan unveiled plans for an internal payment to liquidate the “cryptocurrency,” which it has dubbed JPM Coin.
However, it is unlikely that the two currencies will clash in their interests, since JPM Coin will be a fixed currency used internally in its platform, while XRP is a negotiable asset for cross-border payments.