What are the chances of Ripple (XRP) charting a new ATH this year?

TL;DR

Ripple’s XRP is up 40% in two weeks, now trading above $0.60, with analysts predicting further gains of up to $8 or more. Key metrics such as daily trades and open interest are up, indicating strong market participation, although some traders remain skeptical of a major rally. Where is XRP headed?

Ripple’s XRP has been on a tear lately, with its price up 40% in the past two weeks. The past few days have been quite turbulent for the asset which briefly dipped below $0.55 but then turned back north. It is currently trading above the $0.60 mark, while numerous industry participants expect much more impressive gains in the near future.

XRP Price, Source: CoinGecko

X user Armando Pantoja claimed that investors had accumulated approximately 250 million XRP tokens since the beginning of June, anticipating a rise to $8. He argued that breaking the major resistance level of $0.70-$0.75 is the first hurdle in the long battle towards a potential new all-time high, although it now looks a bit far-fetched.

JAVON MARKS was much more bullish, believing that XRP could be “on the brink of a massive bullish breakout.” The analyst believes that “continued market strength” could be followed by a huge rally towards the ridiculous $150 mark.

It’s worth noting that this valuation would require XRP’s market cap to explode to roughly $15 trillion. This seems unrealistic considering the fact that the total market capitalization of the entire crypto sector is currently around $2.5 trillion.

On the other hand, some traders question the potential of XRP to experience a substantial price increase. Cyclop, an X-user with more than half a million followers, remarked that those who invested $10,000 in the asset in September 2018 would still be sitting on the same amount today. The analyst also placed XRP among the top ten cryptocurrencies that investors should avoid.

“XRP is designed for fast and cheap international money transfers. But in essence, it’s an unnecessary fork of BTC with an overinflated valuation,” the trader maintained.

What do the metrics suggest?

Important indicators related to Ripple’s native token have been heading north lately, indicating a high level of market participation and solid investor interest. One such example is the number of transactions executed on a daily scale that reached almost 5 million on July 19.

Meanwhile, XRP open interest recently surged to a three-month high of over $600 million. The metric refers to the total number of outstanding derivative contracts, such as futures and options, that have not been settled. Its rise is usually a precursor to a violent movement in any direction.

SPECIAL OFFER (Sponsored) Binance Free $600 (Exclusive to CryptoPotato): Use this link to register a new account and receive an exclusive welcome offer of $600 to Binance (full details).

2024 LIMITED OFFER on BYDFi Exchange – Up to $2888 Welcome Reward, Use this link to register and open a 100 USDT-M position for free!