We announced yesterday a serious allegation against Ripple company, which is being sued by the SEC for reportedly selling securities without having a proper license to do so. This news shook the entire cryptocurrency market and even affected “sister coins” in the process. Many well-known figures in the crypto realm chipped in on the topic and gave their two cents, although Ripple has been operating for a while now. What is the future of XRP? Is it poised like other failed cryptocurrencies, the likes of Bitconnect?
XRP Price Prediction – The Downtrend Continues
In a previous article, we specifically mentioned the likelihood of a huge price decrease for XRP, and that was backed up by two things:
- Weak technical price-action
- Bad fundamentals, specifically the newly announced lawsuit
Before we discuss the impacts on the XRP price, we need to better understand the process of lawsuits. Typically, civil trials last between 3 and 10 days once they are before a jury and ready to be heard. However, it can take many months to prepare for a case to go to trial. From the date of filing to the date of the verdict, people should expect a personal injury lawsuit to last around one year or more. When talking about corporate matters, things will definitely last longer than one year.
This will immensely keep affecting XRP’s price in the long term, with current prices breaking through the strong support price of USD 42 cents.
Where is the price of XRP headed?
The current situation is very worrisome for XRP. People who just purchased the coin at prices higher than 40 cents are advised to sell all their holdings and exchange them either to other strong cryptos, or stablecoins to wait and see how things evolve in the coming weeks.
For long time HODLERs, it is a bit hard to give random advice, as it all depends on each and every person. Even if you have a high conviction in XRP, they might lose the suit and settle, and this will take years to resolve. Meanwhile, the price of XRP stopped mooning for the moment and has been in a bearish trend since November 24th, 2020.
For now, the XRP price is headed towards USD 30 cents. If this area is broken also, there will be a further panic in the market, with prices dipping lower even to USD 20 cents.
What are other people saying about XRP?
In this specific topic, cryptocurrency enthusiasts were divided between Hodlers of XRP and the non-Hodlers. Naturally, Hodlers will defend XRP while the non-Hodlers will bash the cryptocurrency, mainly attacking the fact that this specific coin is Centralized.
The creator of Ethereum Vitalik Buterin even had a say on the topic, and tweeted his personal opinion on XRP, attacking Ripple for their double standards:
The whole cryptocurrency market is UP except XRP
It all comes down to how things progress in the next month. Ripple is in much danger now, as it is facing the most fierce judicial system in the world. XRP sister coin Stellar was also seen down 6%. In the past 24 hours, all Top 10 cryptocurrencies except XRP were up for the day:
1- Bitcoin (BTC) : + 3.82 %
2- Ether (ETH) : + 2.39 %
3- Tether (USDT) : 0 %
4- Ripple (XRP) : – 22.94 %
5- Litecoin (LTC): + 8.47 %
6- Bitcoin Cash (BCH) : + 0.71 %
7- Chainlink (LINK) : + 0.95 %
8- Binance Coin (BNB): + 6.14 % (surpassing Cardano)
9- Cardano (ADA) : – 2.02 %
10- Polkadot (DOT) :+ 2.79 %
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