The XRP cryptocurrency is widely recognized and highly favored in the market, but there are increasing concerns about its future potential for price growth. However, if the legal dispute with the SEC is won, there may be a possibility of price surges similar to those seen in 2017. Nonetheless, let’s mention the top 3 reasons why XRP coin is risky and currently the most precarious cryptocurrency.
In 2023, the XRP coin finds itself at a critical juncture. Although the price of XRP has experienced notable growth, it has been considerably lower compared to Bitcoin or Ethereum. Predictions regarding the future direction of XRP’s price have been inconsistent.
Several weeks ago, speculations emerged about an imminent announcement of the verdict in the SEC litigation. However, recent days have indicated that the pronouncement of the verdict could be significantly delayed. Following a substantial price surge, there was a subsequent notable decline in the value of XRP.
Top 3 Reasons why XRP Coin is Riksy
If the legal dispute with the SEC concludes favorably, there is a potential for a significant price surge in XRP. However, investing in XRP at this time is highly precarious due to several reasons. In the following, we will elaborate on three factors contributing to this heightened risk.
1. SEC decision could be negative
Due to the legal dispute with the SEC and the upcoming judgment, the future of the XRP coin is extremely uncertain. An acquittal could lead to a massive increase in the XRP price. In the event of a defeat, the reputation of Ripple and XRP would be massively damaged.
2. Regulation could harm XRP in the future
Even if the verdict is positive, there could still be more regulation in the future. After the FTX disaster , regulators in the US are about to regulate cryptocurrencies and stock exchanges much more severely. XRP is already in focus here due to the long legal battle and could be a long-term target for regulators.
3. Leveling off of community enthusiasm
The “XRP Army” is considered one of the most active communities in the crypto sector. The supporters are very passionate about defending the token at the moment. This is due to the constant attacks from the regulators. However, if these attacks subside, enthusiasm could wane. If the XRP price does not rise massively even after beating the SEC, the disappointment would be great. The chance would be high that the XRP could never reach its old heights again.
