- 16 August 2023
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Why the World is Bullish on XRP: The Case for the Cross-Border Token
XRP is the native token of the Ripple network. It has gone up by over 300% since the year began. It is one of the best cryptocurrencies in 2023. Many factors have boosted its price. One is the legal battle between Ripple and the SEC. It has been going well for Ripple. Another is the cross-border payments sector. XRP has been adopted and innovated more in this sector. A third is the demand and speculation from investors and traders. They are more interested and bullish on XRP.
In this article, we will explore some of the reasons why the world is bullish on XRP, and why it has the potential to reach new heights in the near future.
Ripple vs. SEC: A Turning Point for XRP
The Legal Battle and Its Progress
XRP’s price has been rising because Ripple is doing well in its legal battle with the SEC. The SEC claims Ripple and its leaders sold XRP tokens illegally as securities worth $1.3 billion. Ripple says XRP is not a security, but a decentralized and useful digital asset that helps with international payments.
Since the lawsuit began, Ripple has achieved several successes in court. It obtained internal documents from the SEC. It prevented the exposure of its executives’ personal financial records. It received the backing of various industry associations and regulators. The judge in charge of the case has also questioned some of the SEC’s arguments and evidence. He has encouraged both parties to reach a settlement.
Many analysts and experts believe that Ripple has a strong chance of winning the case, or at least reaching a favorable settlement with the SEC. This would clear the regulatory uncertainty surrounding XRP, and pave the way for its relisting on major US exchanges, such as Coinbase, Kraken, and Binance.US. It would also boost XRP’s reputation and credibility in the global market, and attract more institutional and retail investors to its ecosystem.
If Ripple and the SEC reach an agreement, XRP’s price could go up because there would be less XRP available. Crypto Briefing says Ripple has 48 billion XRP in locked accounts that it uses for its business and partners. But a settlement might force Ripple to destroy or lock up more of its XRP, making the token more rare and valuable.
Cross-Border Payments: A Growing Market for XRP
The Use Case and Design of XRP
Another reason why the world is bullish on XRP is its growing adoption and innovation in the cross-border payments sector. XRP was designed to be a fast, cheap, and scalable digital asset that can facilitate cross-border transactions between different currencies and networks. XRP can settle transactions in seconds, with minimal fees, and without intermediaries or counterparty risk.
The Partnerships and Projects that Leverage XRP
XRP’s use case as a bridge currency for cross-border payments has been validated by several partnerships and projects that leverage its technology and network. For example, RippleNet, a global network of banks and payment providers that use Ripple’s software solutions, has over 300 members across 40 countries. Some of these members use XRP as a liquidity source for their cross-border payments, such as MoneyGram, Azimo, SBI Remit, and Nium.
RippleNet also offers a service called On-Demand Liquidity (ODL), which allows its customers to source liquidity from XRP markets instead of pre-funding accounts in foreign currencies. This reduces costs, risks, and operational complexity for cross-border payments. According to Ripple’s Q2 2023 report, ODL volume grew by 130% quarter-over-quarter, reaching a record high of $1.1 billion. ODL also expanded to new corridors in Japan, Brazil, and South Africa.
The Innovation and Expansion of XRP Ecosystem
Other initiatives besides RippleNet use XRP for cross-border payments. For example, Flare Network is a smart contract platform that integrates XRP Ledger and Ethereum Virtual Machine (EVM). This integration allows XRP holders to access decentralized applications (DApps) and decentralized finance (DeFi) services. Flare Network also plans to launch Flare Finance, a DeFi platform that will offer various products for XRP and other assets, such as yield farming, lending, borrowing, insurance, and asset management.
Another example is XRPL Labs, a development studio that Ripple’s investment arm Xpring funds. It works on several projects to enhance XRP’s utility and adoption. Some of these projects are XRPayments, XUMM, and XRP Toolkit. XRPayments is an app that allows sellers to receive XRP for their goods or services. XUMM is a non-custodial wallet app that lets users store and send XRP and other tokens issued on the XRP Ledger. XRP Toolkit is a web interface that lets users interact with the XRP Ledger and access its features, such as decentralized exchange, escrow, payment channels, and multisignature accounts.
Investor Demand and Speculation: A Driving Force for XRP
The XRP Army: A Loyal and Vocal Community
XRP is a valuable and profitable asset. Investors and traders want more of it. This is another reason why the world is bullish on XRP. XRP has a big and loyal fan base. They are called the XRP Army. They support and promote XRP on various platforms. For example, Twitter, Reddit, YouTube, and Telegram. The XRP Army also protects XRP from critics and detractors. They campaign for XRP’s adoption and recognition by various entities. For example, exchanges, regulators, media outlets, and celebrities.
The Price Movements: A Source of Opportunity and Volatility
XRP also attracts investors and traders who are looking for high returns and volatility in the crypto market. XRP has a history of making explosive moves, both upwards and downwards, in response to market events, news, rumors, or sentiment. For example, in 2017, XRP price soared by over 36,000%, reaching an all-time high of $3.84. In 2021, XRP price surged by over 600%, reaching a three-year high of $1.96. These price movements create opportunities for traders to profit from XRP’s swings, using various strategies and tools, such as margin trading, futures contracts, options contracts, or leveraged tokens.
The Technical Analysis and Price Predictions: A Projection of Bullish Scenarios and Targets
XRP’s investor demand and speculation are also influenced by its technical analysis and price predictions, which often project bullish scenarios and targets for the token. For instance, some analysts use the Elliott Wave Theory to forecast XRP’s future price movements based on its historical patterns and cycles. According to this theory, XRP is currently in the fifth wave of a long-term uptrend that started in 2013, and could reach a target of $10 or higher in the next few years.
Another example is the Fibonacci retracement tool, which measures the percentage of a price movement that is retraced before continuing in the original direction. According to this tool, XRP is currently testing the 0.618 Fibonacci level at around $0.50, which is a critical resistance zone that could determine its next direction. If XRP breaks above this level with strong volume and momentum, it could rally to the next Fibonacci levels at $0.70, $1.00, or $1.60.
XRP in the UK: A Promising Market for the Cross-Border Token
Ripple, the company behind XRP, has recently partnered with Digital Pound Foundation, a non-profit organisation that supports the creation of the UK’s central bank digital currency (CBDC), the “Digital Pound Sterling”. This partnership will help explore how XRP Ledger (XRPL) can benefit CBDCs, such as by enabling interoperability, speed, scalability, and environmental sustainability, according to Ripple.
XRP also became the UK’s most popular cryptocurrency in the third quarter of 2021, as reported by eToro, a social trading platform. The report stated that XRP holders are optimistic about the cryptocurrency’s future, despite the legal battle between Ripple and the US Securities and Exchange Commission (SEC). XRP also experienced a significant rise in trading volume and social media activity in Q3 2021.
These developments show that XRP has a strong presence and potential in the UK market, and that many investors and users are positive about its future prospects. Are you an XRP owner or are you interested in investing in it?
Conclusion
With a strong use case, a growing ecosystem, and a loyal community, XRP is one of the world’s most popular and promising cryptocurrencies. In 2023, XRP has been doing well, thanks to positive developments in its legal battle with the SEC, growing adoption and innovation in the cross-border payments sector, and increasing demand and speculation from investors and traders. As it clears its regulatory hurdles, expands its network and services, and attracts more users and capital to its platform, XRP has the potential to reach new heights in the near future.
We hope you enjoyed reading this blog and learned something new about XRP and why it is a promising cryptocurrency for the future. If you want to stay updated on the latest news, trends, and insights on the crypto market, the stock market, the forex market, and more, you can subscribe to our website NashFact.com. There, you will also find various blogs and articles that cover different financial and investment related topics. You will also get tips and advice on how to improve your financial literacy and make smart investment decisions. Whether you are a beginner or an expert, you will find something useful and informative on our website. So, don’t miss out and subscribe to NashFact.com today!