Is Ripple a slow-burn success or a fading spark? Check out what's in store for this international-payments platform and its namesake crypto token.
The cryptocurrency commonly known as Ripple (XRP -0.59%) is trading just above $0.50 per token. It was briefly worth more than $1 in the summer of 2021, and its all-time peak value comes from an ever-quicker spike at $3.84 three years earlier.
But the functional token of the RippleNet international-payments network typically plods along far below the single-dollar mark. Should Ripple investors expect a slow pricing grind for years to come, or is it poised to reach $5 any time soon?
Ripple's rocket ride may be risky
Long story short: I see a strong future for Ripple and its token holders. But it would be a mistake to expect skyrocketing prices in 2024, and $5 is an unrealistic target for the next few years. The true wealth-building gains will come in the long haul, as RippleNet expands to more countries and becomes more widely used.
That's not an all-out guarantee, of course. Many factors could cripple Ripple on its way to the stars. For instance:
- The lawsuit by the Securities and Exchange Commission (SEC) is still going through the legal machinery and may not come up roses for the Ripple community. Regulators in other markets could also throw in roadblocks at any time.
- The lawsuit risk highlights Ripple's centralized architecture, with Ripple Labs starting the blockchain network and controlling many aspects of its operation. A community-driven, decentralized system holds many advantages over this approach, from more robust data security to quicker decision-making. Crypto giants Ethereum (ETH -1.21%) and Bitcoin (BTC -0.33%) enjoy these advantages, but Ripple does not.
- Other cryptocurrencies may take over RippleNet's transaction-focused operations with cheaper and faster transactions, higher security, or new features.
- At the moment, crypto-based systems look poised to disrupt traditional banking systems in many ways. But if that digital revolution never comes, Ripple won't be worth much in the long run.
Ripple's long-term potential: Beyond the legal battles
After showing you the potholes in the road ahead, let's take a look at potential catalysts for Ripple's long-term price gains.
Ripple's legal tango with the SEC is turning a corner after four long years, offering a glimmer of hope to XRP enthusiasts. This isn't just good news -- it's a potential game-changer, possibly easing the regulatory shadow looming over Ripple and sparking renewed interest among investors.
Meanwhile, RippleNet's expansion is nothing short of impressive, roping in banks and financial institutions at a pace that could make even the skeptics take a second look. The system has access to more than 70 geographical markets, adding up to roughly 90% of the global market for border-crossing transactions.
XRP's growing role as the go-to for liquidity in international transactions could see its demand and value shoot up. This system connects a company's crypto-based assets, such as Bitcoin or Ethereum, to the RippleNet payment service, providing a middle layer of crypto-denominated loans to make the process smoother and faster. The liquidity service is only available in some U.S. states and a handful of countries so far, but Ripple plans to expand it worldwide.
On top of that, Ripple is exploring central bank digital currencies (CBDCs) on a global scale, already developing digital-currency systems for small countries like Palau and Bhutan. Larger CBDC partnerships are brewing in Hong Kong and Colombia. This little project is going places.
Slow and steady wins the cryptocurrency race
Ripple's innovative services and CBDC partnerships make it a champion of a financial revolution. Sure, the road ahead is sprinkled with regulatory hurdles and other potential threats, but Ripple's proactive stance might just pave the way for a brighter future.
So I can't promise that Ripple's token price will multiply tenfold in the near future. However, a $5 target looks quite plausible in the long run, as the global crypto market matures and RippleNet gains traction in more local markets.
Keep an eye on the risks listed earlier, and make your Ripple investment a reasonable size that wouldn't break the bank if something goes terribly wrong. Then, you'll be ready to enjoy Ripple's step-by-step evolution without losing too much sleep over a risky investment. The $5 target may be several years away, but you should get there eventually.
Anders Bylund has positions in Bitcoin, Ethereum, and XRP. The Motley Fool has positions in and recommends Bitcoin, Ethereum, and XRP. The Motley Fool has a disclosure policy.
FAQs
Ripple's rocket ride may be risky
Can XRP reach 5 dollars? ›
While it's theoretically possible for XRP to reach this price, it would require substantial market shifts or a major supply reduction.
What price can XRP realistically reach? ›
XRP Prediction Table
| Year | Minimum Price | Average Price |
|---|
| 2026 | $1.44 | $1.49 |
| 2027 | $2.03 | $2.10 |
| 2028 | $2.91 | $3.00 |
| 2029 | $4.38 | $4.53 |
8 more rowsThere are several factors on which one can make an assumption regarding whether ripple will reach the price of $50 or not. However, in general terms, it's highly unlikely for Ripple to reach this level because its market cap isn't that high, and isn't likely to reach higher levels in the next five years.
Will XRP go up to 1 dollar? ›
Experts forecast that Ripple (XRP) could vary significantly between now and 2030, with potential support at $0.41 and resistance up to $1.86. The average price is expected to stabilize around $0.62. Currently priced at $0.51, XRP may see an upward trend reaching these predicted highs.
Will XRP get to $20? ›
Armando Pantoja, a prominent crypto figure, has expressed optimism about XRP's future. He believes the asset's true value lies between $8 and $20 and predicts it will reach this range by 2026. The $20 target represents a staggering 3,557.6% increase from its current price.
What could XRP be worth in 5 years? ›
If the crypto market cap hits $3 trillion and XRP retains its current 1.18% dominance, its price could ascend to $0.636 by 2025. In a more bullish scenario of the crypto market surging to $10 Trillion, the price of XRP could soar to a staggering $1.12, resulting in a potential 6x return for investors by 2030.
What is the highest potential XRP price? ›
Therefore, our XRP price prediction forecasts a price of $1.80 by the end of 2024. Depending on the lawsuit's outcome and crypto market conditions, it could go much higher, potentially reaching $3.10.
Will XRP win the lawsuit? ›
The SEC accused Ripple of selling XRP in an unregistered security offering. The outcome of the U.S. regulator's court case against Ripple might still have far-reaching consequences for the cryptocurrency industry. Both the SEC and Ripple emerged somewhat victorious in this court case.
Why it is mathematically impossible for XRP to reach $1000? ›
At a $1,000 price, the market would need to move 1 billion XRP tokens to account for a $1 trillion volume and 20 billion tokens for a $20 trillion volume. For XRP to clinch a $1,000 price, it would need to skyrocket by a massive 188,543% from its current value of $0.5301.
This means that XRP holders might have to wait a while to see if the crypto token hits $100 based on JackTheRippler's prediction. If the case is prolonged beyond this year, XRP could miss out on achieving its true potential in this bull run if the lawsuit is indeed acting as a stumbling block to its progress.
Is XRP a dead coin? ›
Regardless of the bearish certainties, many analysts continue to remain bullish on XRP and believe it to be a good time to stack XRP. The recent SEC update has boosted optimism around the token.
What happens if XRP burns coins? ›
Burning removes coins from circulation, reducing that cryptocurrency's circulating supply. This is believed to increase demand, causing a value increase.
What is the highest price XRP reached? ›
The all-time high of XRP is $3.84.
Which crypto will boom in 2024? ›
Top 10 Cryptos in 2024
| Coin | Market Capitalization | Current Price |
|---|
| Ethereum (ETH) | $422 billion | $3515 |
| Binance Coin (BNB) | $87 billion | $595 |
| Solana (SOL) | $66 billion | $143 |
| Ripple (XRP) | $27 billion | $0.499 |
6 more rows7 days ago
In May 2024, analysts foresee an average XRP rate of $0.593, with a range from $0.506 to $0.680, offering a potential return on investment (ROI) of 16.1%. Moving to June, the forecast indicates a potential ROI of 33.2%, with the average XRP rate projected to be around $0.576, fluctuating between $0.534 and $0.618.
Will XRP reach $3? ›
Previously, the source analysts expected that the price of Ripple would be above $3 by 2027. However, this does not mean that they are negative about the future price of Ripple. The XRP will continue to rise over the next five years. The coin will cross the $1 threshold in 2025.
Can XRP hit $1000 usd? ›
Given current market trends and Ripple's price history, reaching $1,000 would require significant and sustained growth, which may take many years, if it ever happens. Most analysts consider such a high target extremely optimistic under present conditions. What could be the future value of Ripple (XRP) Cryptocurrency?
What can XRP reach in 2030? ›
XRP price forecasts for 2030
Techopedia also sees potential for growth, estimating XRP could reach a maximum of $9 by 2030, potentially becoming a bridge currency due to its near-zero settlement times and the rise of central bank digital currencies.
Can XRP reach $200? ›
Yes. It can. People will often mention the market cap being too high for this to happen. There are 100 billion XRP not all are in Circulation and at any one time a fraction of that will be available.
