The price of cryptocurrency Ripple (XRP) has gained as much as 32% since June 18, when the development company behind the coin, Ripple Labs, announced the opening of its first Canadian office in Toronto and plans to “hire hundreds of people globally in 2022 ”. New employees can be set up to work in Ripple's Central Bank digital currency. XRP remains under pressure from an ongoing legal dispute with the US Securities and Exchange Commission (SEC), which will continue into 2023.
In this article, we will discuss:
What is XRP?
XRP is the native cryptocurrency of Ripple, a cryptocurrency payment system created by Ripple Labs Inc. XRP is its “digital asset built for global payments,” implying that Ripple plans to rival the money transfers generally conducted through the banking system. XRP allows users to send money at a very low cost, seeking to attract the interest of retail customers and banks. A key value proposition of Ripple is its minuscule transaction costs, while offering a transaction finality of less than five seconds.
The company was founded in 2012 by Chris Larsen and Jed McCaleb, and is based on the work of Ryan Fugger, who created the XRP Ledger in 2012. The XRP Ledger is an open-source encrypted ledger powered by a peer-to-peer network of nodes. . McCaleb eventually left Ripple and founded Stellar, another payments cryptocurrency.
After the company changed its original name from OpenCoin to Ripple, it pursued high-profile partnerships with Bank of America, Santander and Standard Chartered. However, Ripple soon ran into legal trouble with US regulatory authorities for failing to comply with the Bank Secrecy Laws, and was later labeled an unregistered security. As of early 2022, this process has not yet been resolved. In addition, the company was accused of false advertising early in its existence.
Ripple Labs Expansion
Despite the SEC's lengthy investigation, Ripple Labs continued working on implementing its technology platform, as well as partnering with governments and financial institutions. Ripple Labs announced the opening of the Toronto office on June 22, adding that it plans to “initially hire 50 engineers in Toronto with the goal of expanding to hundreds of software engineers blockchain, including applied machine learning scientists, data scientists, and product managers.” The company opened new offices in Miami and Dublin last year.
On May 18, Ripple Labs said it had partnered with Lithuanian online money transfer provider FINCI to provide international payments using RippleNet's On-Demand Liquidity (ODL). ODL uses XRP to process international payments at a lower cost and at a faster rate than traditional payment platforms.
Ripple develops XRP interoperability
Despite legal issues that limited XRP coin’s availability for trading on US cryptocurrency exchanges, it was the sixth largest cryptocurrency at the time of writing (June 27th), with a market capitalization of $17,53 million, according to the CoinMarketCap🇧🇷 As the case continues, Ripple Labs is working to expand the adoption of its liquidity-on-demand (ODL) offering. According to the update:
The first quarter of 2022 was a record quarter for on-demand liquidity (ODL) as volume grew considerably with nearly 8x annual growth. Overall, RippleNet has reported an annual payment volume execution rate of $15 billion, marking unprecedented growth as customers use ODL for many different use cases beyond traditional remittances or individual payments, including payments. of treasury and SME in bulk.
Total ODL-related sales increased from $1,04 billion in the fourth quarter to $1,35 billion in the first quarter, although the coin's global trading volume dropped to $96,83 billion from $168,41 billion. The prognosis for the price of the XRP coin will likely depend on the outcome of the SEC case as it has reduced the liquidity of the coin.
XRP price in 2022
The price started in 2022 at $0,8313 and then dropped to $0,5587 on Jan 24, 2022 when the cryptocurrencies were sold off. XRP rose as high as $0,91 on Feb 8 but failed to maintain gains, retreating to $0,63 on Feb 24 as financial markets fell sharply. O XRP price it rose to $0,9081 on March 28 but failed to sustain that level, dropping to the $0,56 level on May 8.
The price dropped as low as $0,3852 on May 12 as cryptocurrency markets crashed with the collapse of Terra UST and LUNA cryptocurrency tokens. XRP jumped to $0,4212 on May 17 but dropped to $0,3818 on May 27. With cryptocurrency markets remaining bearish, XRP dipped below the $0,30 level on June 18 before rising to the $0,38 level in response to Ripple's expansion announcement.
Ripple Price Forecast: Is the Volatile Currency a Buy or Sell Now?
Technical analysis has shown sentiment for XRP to be bearish at the time of writing, with 22 technical analysis indicators giving sell signals and eight bullish. the forecast of XRP price indicated that the coin could rise 1,37% to $0,364011 on July 2 and $0,258146 in a month. The long-term Ripple coin price forecast estimates that XRP could rise to $0,736 by the end of the year and $1,015 by the end of 2023. The algorithm-based forecast website Ripple price forecast for 2025 has estimated that the XRP price could move up to $1.544.
Conservative analysts' price forecast for Ripple in 2022 and beyond anticipated a slower pace of growth, averaging $0,47 in 2022, $0,53 in 2023 and a pullback to $0,50. 2024 in 0,68, before rising to an average of $2025 in 1,65, based on historical data. The average price of XRP could reach $2030 by 2030, the data showed. The most optimistic forecast was for Ripple's price for 10,70, estimating that Ripple's projected growth rate could accelerate towards the end of the decade. The price could reach an average of $1,55, up from $2025 in 0,75 and $2023 in XNUMX.
Having said that, before making any investments, do your research, investing in cryptocurrencies is highly risky and speculative, and this article is not a writer's recommendation to invest in cryptocurrencies.
Where to buy XRP?
XRP cryptocurrency can be traded on the following exchanges:
- Binance
- OK
- bybit
- bitget
Conclusion
In volatile cryptocurrency markets, it is important to do your own research on a coin or token to determine if it is a good fit for your investment portfolio. Whether XRP is a suitable asset for you will depend on your risk tolerance and how much you intend to invest.
