Many investors who have deposited funds in the Ripple cryptocurrency are wondering: Can Ripple explode? The answer to this question is “Yes”. The price of Ripple XRP may explode higher if market conditions allow and if Ripple wins its pending lawsuit against the US SEC. Here’s everything you need to know about the evolution of this promising cryptocurrency. Close-up on Ripple reviews!
Can Ripple explode on the rise: The answers
To know if the Ripple can explode in the future, it is necessary to take into consideration 3 elements. The first is the usefulness of Ripple in decentralized finance and the crypto ecosystem, its total market capitalization as well as the number of digital wallets that hold Ripple.
Fundamental analysis of Ripple to know if it can explode
In light of this first point, we realize that Ripple is one of the cryptocurrencies with the greatest potential, the strongest capitalization, liquidity and which is supported by an important community. The number of crypto wallets that hold Ripple is also very large.
Moreover, the real added value of the Ripple project lies in the problem it solves: accelerating international fund transfers and securing the money of users, traders or investors by bridging the gap with blockchain technology. . This technological lens is bold and innovative. Also, criterion n°1 which answers the question of whether the Ripple can explode is validated.
Regarding the second element to take into account to find out whether or not Ripple can explode, it is worth examining what is happening in the crypto market. Concretely, three main situations can occur.
Can Ripple explode in a bear market?
The bear market than thealso known as the crypto bear market is a market where the trend is downward over a more or less long period (from a few weeks to several months/years).
Here, the average investor feels fear, the market is very volatile and sells in general. For many NFTs and cryptocurrency projects like Ripple, this is a tricky time, as capital flows are weaker and stock prices are falling.
Therefore, it becomes difficult to pump a project and accelerate its development. In this configuration, it is unlikely that Ripple can explode on the upside.
Can Ripple explode in the event of a bull run?
The bull run is the opposite situation to that of the bear market. This is a long term bullish move. New capital is entering the crypto market, investor confidence is returning and most tokens as well as coins like Bitcoin, Ether or XRP are seeing their price increase.
Thereby, in case of bull runthe Ripple token can explode and generate very interesting capital gains for investors in this digital currency that is Ripple.
Can Ripple explode if the crypto market is stable?
The third situation that can be encountered is when the market is relatively stable. In this situation, anything is possible and the Ripple can explode. Be careful though, a stable market in the world of new cryptocurrencies does not mean that there are no price variations.
Seeing virtual currencies like Ripple gain or lose 30% in one day is very common. Thus, millions of US dollars can flow in and out in 24 hours without much impact in terms of capital gains or losses at the individual level.
NB: the bear market and the bull run are not specific to crypto currencies. Indeed, we also find these market movements in traditional finance, on the stock market, Forex and on all stock exchanges more generally.
Moreover, more and more brokers and brokers offer their clients financial products to invest their money in the stock market and in the cryptocurrency market. Good to know if you want to make investments with high potential returns like on Ripple or trading.
Finally and to end on this point, if you want to know what configuration we are currently in (bear, bull or stable market) in order to detect buying opportunities on Ripple, you have two solutions.
The first is to do cryptocurrency technical analysis and fundamental analysis. The second, which is simpler and more accessible to beginners, is to get information on sites specializing in digital assets such as nouvellecrypto.com.
Ripple may explode if it wins against the Securities and Exchange Commission
This last element is essential to know if Ripple can explode or not. And for good reason, the SEC, which is a federal financial market regulator and supervisor in the United States, took legal action against Ripple a few years ago. Why ? A charge of money laundering.
More specifically, Ripple Labs is accused of having carried out fundraising without having registered with the competent American financial authorities. Thus, Ripple has not faced the same constraints as companies that launch fundraising campaigns by issuing shares or bonds on the traditional market according to the SEC. Therefore, Ripple would be outlawing and acting unfairly.
It is this allegation that has slowed the growth of the project and has led many investors to ask the question of whether Ripple can explode. So, if it loses the case, it seems reasonable to assume that XRP could fail, with a hefty fine tapping into its own resources.
Good to know: the trial could be judged this year in a definitive way. Therefore, it could be interesting to buy XRP to invest in the long term, because Ripple can explode in case of legal success.
At least in the short term, the price could rise following good news like this. To invest in Ripple, many exchange platforms, trading or brokerage platforms exist. These include Binance, eToro, Coinbase and even FTX.
If you want to know more about Ripple, the following this review article and tutorials should interest you, because we are going to go into more detail about this very promising cryptography project. This information could help you in your analysis and to answer the question of whether Ripple can explode or not.
The history of Ripple to understand if it can explode
Ripple Labs is a company that was started in 2012 by Jed McCaleb and Chris Larsen. The Ripple project aims to improve and accelerate international money transfers (in euro, dollar USD or any other national currency).
The idea is to be able to carry out thousands of secure transactions in a very short time as well as to make the link between the traditional banking system and the virtual currency market.
When we know that a bank transfer can take several days to reach the recipient and that it is very expensive, the solution provided by Ripple meets a real need. Above all, the banking market is valued at several trillions of dollars!
As for the XRP coin itself, it is to serve as a currency of exchange on the Ripple payment network. Another important thing, XRP is not a mineable cryptocurrency like with Bitcoin BTC.
Thus, XRP has become one of the favorite altcoins among investors due to its potential to transform the banking sector. Many banks are interested in the Ripple Network because of its ability to facilitate fast and cost-effective cross-border payments. Moreover, this led to a massive increase in the price of Ripple between 2017 and 2018 in particular.
The most enthusiastic even predict that it will eventually replace the current SWIFT BIC system for international bank transfers. If that happens, it could be a real game-changer for Ripple price predictions.
Indeed, in this situation the Ripple can explode upwards. In the future, the use of Ripple may well become commonplace when we transfer money from our traditional bank accounts.
NB: even if past performance is never a certainty of future results, understanding the past performance of XRP tokens makes it possible to do analyzes and have indicators to predict the future price of Ripple in a theoretical way.
Ripple’s price history
The developers started development in 2011 and officially launched the cryptocurrency in 2012. This promising cryptocurrency project caught the attention of banks and other financial intermediaries, leading to mass adoption and a significant price hike in 2017.
The digital asset then hit a new all-time high of $3.84 in January 2018. This was followed by a sharp drop in price which rebounded strongly in 2021. Subsequently, Ripple XRP struggled to maintain its upward momentum with highs followed by lows and without returning to its ATH (highest peak) in 2018.