In 2024, Is XRP an Ideal Investment? Three years after Bitcoin’s debut in 2012, one of the earliest cryptocurrencies was founded: XRP. Ripple, a worldwide supplier of payment services, now uses the XRP token as a medium of exchange and a medium of settlement for the XRP Ledger blockchain. Although XRP’s popularity in the crypto community has grown, is it still a solid investment option?
Here, we’ll look at the XRP ecosystem, its rules and regulations, and how XRP is used in transactions. When considering the question, “Should I buy XRP?” it’s wise to maintain a level head and consider both the advantages and disadvantages. Discover the future of this coin with us.
How Has XRP Performed as an Investment?
Tokens were valued at $0.01 when XRP was released in August 2012. At the beginning of 2018, XRP hit a new peak of $3.84. The euphoria, though, would be short-lived. The XRP price dropped once the bidding war ended and remained in the $0.20–$0.60 range for most of 2019 and 2020.
Although it never again hit its prior highs, XRP did reach a new high of slightly under $2.00 per XRP in 2021, when the crypto bull market returned. As XRP fell in value, the fight to get $1.00 back became a running joke among cryptocurrency enthusiasts. Early investors, on the other hand, did quite well, with returns ranging from 1,900% to 38,300% at the peak.
Despite having a market size in the top ten, XRP hasn’t recently performed well compared to other significant cryptocurrencies. Over the past year, Bitcoin’s price has increased by 149%, while XRP’s has decreased by 35%.
XRP Price History Timeline
Just like other cryptocurrencies, XRP saw a meteoric rise before plummeting from its highs. Unlike other top-ten cryptocurrencies like Bitcoin, Ethereum, and Cardano, XRP’s all-time high occurred in 2018.
- 2014: XRP launched at $0.01. XRP later fell below this price, dipping to 0.006396 in 2017. Pricing remained relatively flat until later in 2017, although traders played the swings too small to see on the chart.2
- 2017: March 2017 marked the beginning of the first big runup for XRP. By May 2017, XRP peaked at $0.45, posting a nearly 4,000% gain in less than three months.3
- 2018: After a brief cooldown from the May runup, XRP went parabolic, reaching an all-time high of $3.84.4
- 2020: Following a sell-off that was as fast and furious as its ascent, XRP bottomed in the 10-cent range.5
- 2021: The crypto bull market of 2021 brought renewed buying pressure, pushing XRP up to $2.00 briefly.
- 2024: XRP fell throughout the bear market of 2022 and 2023, beginning to climb again in mid-2023.
The price of XRP typically tracked the movements of other cryptocurrencies, such as Bitcoin and Ethereum, in the market. The enthusiasm surrounding XRP, meanwhile, wasn’t always the same. Legal issues plagued XRP throughout its 2021 bull run. Concerns over Ripple’s XRP coin came to light in December 2020 when the US Securities and Exchange Commission (SEC) accused the company.
XRP Price Forecast
Should I put my money into Ripple? Based on their research, CryptoNews predicts that XRP will reach a price of $0.91 by the end of 2024, up 80% from its current range of 50 cents.
XRP Price Forecast 2024
According to our month-by-month prediction, there is minimal chance of a decline from the present price. Nevertheless, progress may be modest. It might be June 2024 before XRP starts to appreciate significantly in price. In the coming months, prices may rise gradually, with an anticipated range of $0.662 to $0.914 by the end of the year. By the end of 2024, our XRP price forecast shows cryptocurrency trading at an average of $0.823.
XRP Price Forecast 2025
Potentially intriguing XRP price developments may occur by 2025. We estimate that XRP might reach $1.82 at a minimum. As a maximum, XRP might hit its 2021 highs, reaching $2.11. We estimate prices to rise yearly during the anticipated bull market, with an average of $1.95 by year-end 2025.
XRP Price Forecast 2030
Long-term investors may get better profits. XRP may break $3.00 in 2030, while its bottom end is predicted to be similar to 2025. The most optimistic forecasts place XRP at $3.60 in 2030, close to its 2018 high. The bottom price is $1.87, and the average is $2.67 by 2030.
Ripple’s SEC lawsuit will likely keep prices low despite generating new marketplaces. With the restrictions eliminated, XRP’s price can rise as the cryptocurrency market awaits court case updates. Industry experts expect a crypto market surge in 2025 after Bitcoin halved in 2024 and usage rose.
Is XRP a Good Long-Term Investment?
There is no connection between Ripple Labs and the XRP Ledger (XRPL). Examining Ripple’s function while assessing an XRP investment is vital because of how intimately interwoven the two are. Ripple received 80% of the XRP supply from XRPL, while 55% was held in escrow. With the escrow system, a maximum of one billion tokens—or 1% of the 100 billion XRP supply—can be distributed monthly. The goal of the action was to bring about price stability.
Although Ripple’s released holdings can add to the circulating supply of XRP (up to a maximum of one billion XRP), XRP is also burned during transactions. About 12 million XRP have been destroyed, rendering these coins permanently unavailable.
The volume of transactions surged by 100% quarter over quarter, while the average cost of transactions decreased by 44%, according to Ripple’s first quarter 2024 markets report. Additionally, there was a tripling of the amount of XRP burned in transactions since Q1 2023, reaching 636,000.
Strong and Experienced Leadership
The XRP Ledger, which uses XRP as its native token, was started in 2011 by Jed McCaleb, David Schwartz, and Arthur Britto. The network went live in 2012. The project’s original intent was to facilitate instantaneous transactions worldwide, much like Bitcoin.
Ripple Labs, the business that emerged from the XRP Ledger, took its name from the original open-source project. Before its 2013 makeover, Ripple was known as OpenCoin. The 2012 startup was started by XRP’s Jed McCaleb and Chris Larsen.
To inform investors about Ripple’s network built on XRPL and XRP, Ripple CEO Brad Garlinghouse frequently appears on financial broadcasts. The famous co-founder of XRP, David Schwartz, now serves as the firm’s chief technology officer. One of Ripple’s co-founders, Chris Larsen, is still on the board. Though separate organizations, XRPL and Ripple have strong linkages, and both XRP and Ripple have the support of early crypto industry trailblazers.
Expanding Partnerships and Use Cases
As a payment and settlement asset, XRP finds real-world utility through Ripple. You can send money to anyone in the globe in a matter of seconds because of the minimal costs and quick transaction timeframes. With XRP, transactions are completed in a fraction of the time it takes with the old SWIFT system, which can take as long as five days. Partners on Ripple’s quickly expanding roster are aware of this value offer. The United States’ litigation has shifted its attention to other countries.
- Central Bank of Colombia: Ripple’s CBDC platform, which is based on the XRP Ledger, has captured the interests of governments. Ripple partnered with Columbia’s central bank in 2023 to explore the use cases of blockchain technology.
- SBI Remit: Since 2017, Japan’s SBI Remit has used XRP as a bridge asset facilitated by Ripple Payments.
- QNB Qatar National Bank: Cross-border payments through RippleNet are fast and inexpensive. QNB began working with Ripple in 2021.
- Travelex Bank: Brazil’s Travelex Bank partnered with Ripple to optimize cross-border payments in 2023.
XRP Ledger is an excellent platform for tokenizing real-world assets since Ripple is interoperable with dozens of financial institutions and service providers worldwide.
Energy-Efficient Transaction Validation
To verify transactions, Ripple relies on trusted nodes rather than the proof-of-work or proof-of-stake consensus techniques used by Bitcoin or Ethereum, respectively. Because of its simplified structure, the network can accomplish quick transactions while consuming very little energy.
The 100 billion XRP tokens were mined in advance. Bitcoin’s main competitor at launch used a lot of energy to mine new currencies, while this one didn’t. Alternatively, the XRP token cap will remain at 100 billion, and no further tokens will be produced. The supply of XRP is deflationary due to the burning of network fees.
Regulatory Status
Ripple may face legal trouble with the SEC, but XRP has a special place in the cryptocurrency market. The selling of XRP tokens on secondary markets is not considered the sale of securities, according to a 2023 judge’s ruling.
But the verdict is a partial win in the long fight against regulators. The decision upheld selling the first tokens to investors as a security in an investment contract. Many cryptocurrency exchanges had removed XRP from their offers before this decision cleared the path for trading.
Numerous points of the case are still up for debate. Also, Ripple is in hot water with the SEC because of the decision over XRP’s security status in initial direct sales. In light of the early sales to institutional investors, the SEC sought penalties and fines totaling $2 billion. There may be repercussions for the whole sector as this lawsuit continues. Some tokens are sold to early investors before they reach exchanges, which is common among many projects.
What Does The Future Hold For XRP?
More people using XRP will determine its fate. The ongoing court battle overshadows Markets like the US as Ripple tries to establish new partnerships with big banks, service providers, and governments.
XRP The expansion of XRP and XRPL’s use cases is encouraged by Ledger’s capacity to house more compliant tokens and a viable decentralized exchange. Just like Ethereum’s Ether (ETH) facilitates the transfer of NFTs and tokens on the Ethereum blockchain, XRP is the driving force behind transactions on the XRPL platform. A modern, interconnected blockchain like XRPL might be propelled to the forefront by emerging uses, such as actual crypto assets. Numerous possibilities for the future of XRP and XRPL are presented by the extensive network of financial institutions already collaborating with Ripple.
What Experts Say on Whether You Should Buy XRP
Should I invest in XRP? Opinions are still divided regarding XRP and its place in the cryptocurrency market. One positive aspect of XRP is its higher brand awareness than other cryptocurrencies, thanks to its extensive links to Ripple. In contrast, Ripple’s current legal battle with US regulators causes short-term uncertainty and will keep prices low.
In the past, predictions of XRP’s value have been wildly inaccurate, illustrating how challenging it is to keep up with the fluctuating market for digital assets. The market holds the final say. The market expects the price of XRP to remain relatively stable in 2024 and 2025, according to a study of Binance users. The average predicted price for the token by 2030 is $0.70. On the other hand, other experts have estimated a far higher possible market price.
By the end of 2024, AMBCrypto predicts that XRP might reach $1.26. More distant forecasts say the token might get $80 by 2030. Nevertheless, a market cap of $8 trillion would result from this. To put it in perspective, just over $1.4 trillion is the completely diluted market cap of Bitcoin. With a high objective of $7.54 by 2030, Changelly’s panel projects that XRP might reach $0.79 in 2024.
Remember that Ripple’s payment methods are not tied to the XRP price. Whether the value of XRP is $0.50 or $50, payments are completed almost instantly in the local currency.
Conclusion
Thanks to its devoted user base and strong links to Ripple’s worldwide relationships, XRP is always making headlines and is one of the most valuable cryptocurrencies. An appealing investment opportunity for people worried about inflationary tokens is a fixed quantity of tokens with built-in deflation by burning fees. But you can’t ignore Ripple’s past performance or the legal hurdles it has overcome. The price of XRP might rise if Ripple is victorious. Otherwise, pricing may take a hit.
Always play it safe, and never risk more money than you have. A diverse portfolio is wise to mitigate the danger of losing money on any cryptocurrency investment.
