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Ripple price prediction: there is a silver lining
Ripple (XRP.X) is trading at $0.46, up 0% from yesterday. Ripple price has been recovering, but the currency is facing strong barriers against Bitcoin. On the XRP/USD hourly chart, there is a small bearish trend line in place, with resistance at $0.44.
What is Ripple's price forecast? What developments should investors be aware of?
The media is somewhat negative about XRP and its activities. One issue for investors is the impact of ‘whales’--and their selloff. As a reminder, 'whales' are investors who control a large number of XRP--and the fact they have been selling Ripple causes a concern to retail investors.
A few days ago, Ripple released somewhat disappointing figures for Q2'18. Ripple holds a vast amount of the total supply of XRP in an escrow account that will not be fully paid out for the next several years. Q2 saw a sharp decline in Ripple-initiated XRP sales compared to Q1: sales were down 56%, dropping from $168 million worth of XRP sold in the first three months of the year to $74 million sold in the second three months.
Another question investors ask is if Ripple (XRP) is declared a security, will it survive? Our prediction is that Ripple will not be treated a security. The company has been working with different regulatory bodies right from the start, emphasizing that Ripple and XRP are not alike. Even if Ripple Co. ceases to exist, XRP will still remain.
New market entrants have adopted XRP despite slow sales last quarter. One of those entrants is a company called Coil, led by Stefan Thomas, which helps with organizing media buys. Many large financial services players have announced they have plans to incorporate Ripple (e.g., Goldman Sachs has started implementing it).
Regarding declining sales, Ripple has a plan: if sales fall again, the company will raise new capital accordingly.
Here are the major technical indicators:
- MACD is moving in the bearish zone. MACD (moving average convergence divergence) is a trend-following momentum indicator that shows the relationship between two moving averages of prices. MACD is calculated by subtracting the 26-day EMA (exponential moving average) from the 12-day EMA;
- RSI (relative strength indicator) is moving higher, above level 50 (indicating the currency is slightly overbought today). RSI compares the magnitude of recent gains and losses over a specified time period to measure speed and change of price movements of a security;
- A new major support level is forming at $0.44;
- A new major resistance level is forming at $0.47.
Ripple is dipping today -- what does the future hold?
Ripple (XRP.X) is trading at $0.48, down 1% from yesterday. Ripple price saw a good upside movement prior to encountering sellers near $0.52 against the US dollar.
What is the Ripple price forecast, i.e., prediction?
The changes in Ripple's price from uncertainty to $3.40 and then back to $0.49 today is a major concern. Ripple might be ring-fenced by its competitors because of the centralization issue.
If it is decided by the US Securities and Exchange Commission (SEC) that tokens are securities then Ripple would be subjected to laws different from those applicable to other tokens.
Anatoly Castella, CEO of Elpis Investments holds an opinion that Ripple is a fintech platform which combines the characteristics of fiat money and blockchain cryptocurrency because of which it should be considered as a digital fiat and not a cryptocurrency. SEC might create a separate regulatory framework for such digital fiats and support a sustainable ecosystem for digital fiat startups which are in a limbo state now.
Though Ripple bears the potential to become a digital asset owned by institutional investors in the long run, a short-term dip in the market value is likely to be seen if the SEC categorizes it as a security.
Here are the major technical indicators:
- MACD has gained momentum in the bearish zone. MACD (moving average convergence divergence) is a trend-following momentum indicator that shows the relationship between two moving averages of prices. MACD is calculated by subtracting the 26-day EMA (exponential moving average) from the 12-day EMA;
- RSI (relative strength indicator) is struggling below the 50 level. RSI compares the magnitude of recent gains and losses over a specified time period to measure speed and change of price movements of a security;
- A new major support level is forming at $0.47;
- A new major resistance level is forming at $0.49.
When it comes to most cryptocurrencies, miners create nodes on their network to process transactions. They are compensated for their efforts in form of mining rewards.
But the working of Ripple is different. It does not have miners or mining -- all transactions are powered through a ‘centralised’ blockchain and the parent company, i.e., Ripple Labs, which mines XRP all at once. Also, the company holds a major portion of the currency.
Are hacking issues alone responsible for cryptocurrency price drop today?
The sharp drop in the price of bitcoin and other virtual currencies is attributed to the hacking of the South Korean cryptocurrency exchange Coinrail, which was compromised over the weekend.
The obvious question is, why did the price of Bitcoin and Ethereum remain relatively more stable than the price of other virtual currencies?
It's important to note that EOS, Tronix and Bitcoin Cash are all more susceptible to panic selling than the mainstream coins.
Coinrail is a relatively minor cryptocurrency exchange in South Korea, and the volume traded on Coinrail will not impact the price of altcoins dramatically. However, when a panic attack hits the market, manipulators are going to be most noticeable in those areas where liquidity is lacking.
Low liquidity is an issue for most altcoins because it allows individual traders to manipulate the price of cryptocurrencies. What follows next is a wave of panic selling from individuals who don't believe in the long-term opportunity for those altcoins, and are looking to curtail losses by liquidating their positions.
The current decline in the price of cryptocurrencies is a move perpetrated by market manipulators who can, for all intents and purposes, drive down the price when it's opportunistic for them.
To follow the price and news about cryptocurrencies, please visit Finstead (and type "BTC.X price" or "BTC.X news" to get the latest scoop and information).
Ripple (XRP): short-term bearish?
Ripple (XRP.X) is slightly down today, but there are some positive developments for the cryptocurrency. What are the market developments impacting Ripple's price? What is the XRP price prediction?
Let's look at the macro landscape first.
The partnership with major financial institutions and banks (Santander, MoneyGram, and Western Union) places XRP at the leading position of general cryptocurrency adoption.
Ripple seems to be in the forefront when it comes to product development--and xRapid is becoming increasingly important to the banking sector, as banks are continuing to deal with liquidity issues. The xRapid software for cross-border payments through partner banks has helped the platform achieve international recognition.
About four years ago, Ripple decided to put aside Codius, a platform for smart contracts. The platform did not have a substantial market and lacked standard transactions on the smart contract environment.
Codius is now being resurrected now since the market for smart contracts has grown massively. Also, the smart contract is becoming an appealing add-on for traditional businesses wanting to pursue blockchain.
If Ripple manages to create ansmart contract platform, it will grow exponentially beyond the level seen to date. It's apparent that Ripple is now looking into new product lines and use cases, beyond cross-border money transfer.
Now let's look at the technical analysis. Ripple price failed to move above the $0.69 resistance and declined a couple of points (vs. USD).
Here are some technical parameters to consider:
- The hourly Moving Average Convergence Divergence (MACD) has moved back in the bearish zone. MACD is a trend-following momentum indicator that shows the relationship between two moving averages of prices and is calculated by subtracting the 26-day Exponential Moving Everage (EMA) from the 12-day EMA.
- The RSI (Relative Strength Index) is now well below the 50 level.
- Support level can be found at $0.67.
- Resistance level can be found at $0.69.
Ripple (XRP.X) is trading at $0.67, down -2.12% from yesterday.
Over the last 30 days, XRP.X lost -20.01%, which is:
- 1.81 percentage points higher than the 30-day return of Finstead’s Crypto Index;
- 1.23 percentage points lower than the 30-day return of Bitcoin (BTC.X).
Ripple (XRP.X) price prediction: what to expect?
Ripple (XRP.X) price has recovered from last week's low of $0.59. The cryptocurrency is now trading at $0.66. What is the Ripple price prediction?
Let's look at the technical analysis first:
- There is a breakout pattern forming with resistance near $0.66 on the hourly XRP chart.
- The hourly Moving Average Convergence Divergence (MACD) shows some bearish signs. MACD is a trend-following momentum indicator that shows the relationship between two moving averages of prices and is calculated by subtracting the 26-day Exponential Moving Everage (EMA) from the 12-day EMA.
- Hourly RSI (Relative Strength Index) is now well above the 50 level with a tiny bullish angle.
- Support level can be found at $0.63.
- Resistance level can be found at $0.66.
On the macro side, there are a number of positive developments that have helped push the popularity of the cryptocurrency up. Ripple has been working on a deal with the Bank of America, the latest institution to jump into the cryptocurrency market.
The deal will help make the Bank of America more accessible to the average consumer, opening up accounts for Ripple traders who otherwise may not have been able to use the bank's services.
Ripple has a number of bank partnerships, including Santander and Master Card that have elevated the cryptocurrency in the minds of retail investors.
Ripple’s partnership with payment providers InstaRem and Sao Paulo will help with its presence in Brazil and Asia, respectively. The two firms will take advantage of Ripple’s xVia, which would allow them to send money through banks without any initial software installation.
The macro trends for Ripple are positive, and the pending lawsuits are handled with much professionalism and diligence. For the lawsuit filed by investor Ryan Coffey last month, who claims that he lost $551.89 trading Ripple’s XRP tokens, the company selected Mary Jo White, former chair of SEC, to represent the company.
For the latest price and news on Ripple, please check Finstead and search for "XRP.X price" or "XRP.X news".
Although we remain positive above Ripple's future, we're reminding you that this article should not be taken as any sort of investment advice.
Bitcoin, Ethereum, Ripple and EOS: who's winning and who's losing?
As the crypto market gains more mainstream popularity, one thing is apparent--increasingly more altcoins are gaining in status, relative to the (still) most popular cryptocurrency, Bitcoin.
It's a common belief today in the crypto investment world, that Bitcoin is losing dominance--and history of its market cap relative to all other cryptocurrencies shows exactly that. Also, Ethereum, which was once viewed as the enabler of blockchain-based projects and companies, is slowly losing its supremacy.
Some insiders, such as Brad Garlinghouse, Ripple CEO, declared that Bitcoin could be on the verge of experiencing a price downfall in the cryptocurrency community as investors are gradually becoming aware of the different currencies and alternatives available to them.
Individual investors are becoming more focused on the mission of crypto companies and currencies (e.g., what problems are they solving?) and also the teams that run them.
So which coins are gaining in popularity relative to the rest? And which ones are likely to make it to or stay in the top 5 list (by market cap), if they are not there already?
EOS is a well-funded project--over $4B went into it, and now the company is rapidly releasing new features and functionalities. The EOS team is an A-team--and that's a requirement for companies planning to win in the crypto space.
But funds are not everything. Microsoft has spent billions trying to make Bing relevant and it failed. It’s not about the money but about the way you use resources, says Brad Garlinhouse. Ripple (XRP) has used its funds very wisely in a way that has created value for their users and coin holders.
When Bitcoin was initially offered in 2008, it was a game changer. It was the first time people could initiate transactions and trade without having banks or governments behind it.
But the landscape has changed. The secret source to winning in the long term is talent investment, focus on execution and long-term vision. EOS and Ripple seem to have that--and we'll watch closely how they execute.
Ripple (XRP.X) is down today: why?
Recently there has been a lot of positive momentum for Ripple (XRP.X)--the parent company of this cryptocurrency revealed the results of the first pilot study demonstrating lower transaction costs compared to traditional foreign exchange options. The study showed a 40% to 70% reduction in expenses compared to legacy solutions. What as even more impressive is the average Ripple payment time of two minutes, a stark contrast to three days, which is the time it typically takes to execute cross-border payments.
But the cryptocurrency is down 16% despite the fabulous news. What's driving the coin price down? What's the Ripple price forecast?
A week ago a class-action lawsuit was filed against the CEO of Ripple, Brad Garlinghouse, as well as the parent company Ripple Labs. The lawsuit claims that the cryptocurrency is scamming people. It was filed in California by Ripple’s very own investors.
The lawsuit was filed by Taylor-Copeland Law that focuses on crypto and blockchain litigation. The lead investor mentioned in the lawsuit is Ryan Coffee, who portends that Ripple is breaking both federal and state security laws, and is misleading the public regarding their services.
The market capitalization of all cryptocurrencies has dipped following the criticism from famous investors and entrepreneurs: Warren Buffett, Charlie Munger, and Bill Gates. Gates opined that he would short Bitcoin if he could.
The falling knife pattern of Ripple's price is concerning to traders. For the latest price and news on Ripple, please check Finstead and search for "XRP.X price" or "XRP.X news".
Ripple (XRP.X) comeback: a bull case
Ripple (XRP.X) recently bounced from its 3-month low and is attracting speculators’ interest again. For the latest news and price about Ripple, visit Finstead and type “Ripple news” or “Ripple price”.
What do you need to know about Ripple?
Ripple is a blockchain solution with a promise to transform the banking system. It is a RTGS (real-time gross settlement) system, currency exchange and remittance network designed by the Ripple Company.
Many renowned banks and payment providers are the clients of the company. Ripple aims at enhancing the efficiency of cross-border payments for its clients who make transactions worth billions every day.
Ripple hit an all-time high of $3.30 in January but it reached a low of 47 cents on April 6th. Since then Ripple's price has almost doubled.
Why has Ripple surged recently? Here are the top three reasons:
- Several channels reported that Binance, a crypto exchange, would allow its users to purchase altcoins using US dollars, which might have contributed to Ripple’s gains. However, Binance denied that it had plans to allow fiat currency transactions.
- Expectations are high that XRP will be listed on one of the top crypto exchanges this year.
- The tax season in the US also may have contributed to Ripple’s surge. Many investors cashed out their cryptocurrencies to pay for their tax dues. Now that the tax season is over, speculators are back to taking positions in Ripple and other altcoins.
It’s important to note that the entire crypto market is up and the general sentiment is that we’re finally coming out of a bear market and entering a bull market.
However, be careful about investing in Ripple—cryptos are an unregulated market with an extreme volatility, so be prepared to lose all your money if you invest in cryptos.