The cryptocurrency market recently witnessed a severe crash in prices. Most cryptos are deep in the red. Despite this bear market, many projects present interesting buying opportunities. Who wouldn’t want to buy their favorite token at a discounted price? On the other hand, other projects look like they are dying with no real progress in the making. Ripple is one of those projects that have been lingering for quite some time now. The recent XRP crash was inevitable when the entire market crashed, but its prices did not breakthrough when the crypto market was doing well. Should you sell all your XRP tokens and move on to other cross-border payment projects? Can Ripple have a big comeback? Let’s talk about Ripple and its future.
XRP Price Analysis – Nothing interesting Technically
During the important crypto Bullrun of August 2021, XRP did have an impressive rise of almost triple in its market cap. XRP prices soared from a price of USD 0.52 all the way to reach a high price of USD 1.41. Investors got excited to see Ripple back on track. Renewed hope was instigated in the market, especially with the anticipation of solving the SEC case that is still pending till today. Sadly, the month of April turned out to be the only good month of the entire year of 2021.
When zooming out on the daily chart, it looks like XRP has been on a continuous downtrend, with opportunities to short whenever prices became overbought. The only clear long winner trades would be whenever XRP prices reached the strong support of USD 0.52 (figure 1).
The SEC case is still Pending
Despite many hopes of a win over the SEC case or even a settlement, Ripple company still has no news regarding the matter. Brad Garlinghouse, the CEO of Ripple company sees that the case would resolve sometime in the coming year of 2022, but that’s going to drain the investors’ patience.
The SEC case started back in December 2020, when Ripple company got charged for selling unregistered securities. Ripple claims that the XRP tokens cannot be treated as securities and that they are cryptocurrency tokens just like Bitcoin or Ethereum.
Can Ripple stay True to Quick Borderless Payments?
XRP tokens are quick to transfer, but still are volatile. I can send today 1,000 XRP for a value of USD 800 today, and after a couple of days, the amount can become USD 900. That’s why most companies are interested in the underlying technology that Ripple is building, which is the blockchain.
Today, we have strong contenders that are already in the crypto payment realm. Terra is a good example of a project that is taking the crypto world by storm. Terra recently pushed updates to its protocol. The updates tackled how users reported their taxes in compliance with international standards. This would definitely add another layer of comfort to users and investors. Many analysts are optimistic about Terra, being able to provide price stability and a strong contender in cross-border payments in a highly volatile crypto environment. Similar to Ripple though, Terra also has issues with the SEC.