Table of Contents
As of December 19, 2024, 2024-XRP of Ripple Labs continues to be a favourite among investors as it oscillates around $3. As has been the history of this digital asset, it has always been characterised by fluctuations and much as it may promise to revolutionise international payments, that same unpredictability has many asking themselves if it is time to invest. In the following section, we look at the latest trends in the XRP market, the latest regulations across the world for the currency, and opinions from different experts to reach the right decision.
XRP’s Recent Market Performance
XRP has experienced significant increases in this year 2024, backed by the reshaped legal battles of Ripple Labs and increasing use. Just like all other cryptocurrencies, XRP has not been left out of the fluctuations of market prices. Since reaching its high of $2.90 on the first day of this month, XRP has slightly retreated and is currently at $2.36. This has gone down by 5.98% in the past twenty-four hours, going with the general market trend.
However, XRP has now slipped to fifth place by market cap, it still occupies its rightful place among the top-ranked cryptocurrencies. Even its growth rate year to date makes it one of the best-performing assets of the year 2024.
Key Technical Levels
XRP is at present inching towards the most crucial support level of $2. If this level persists, experts think the price of cryptocurrency might climb back to 3, even reaching up to 4 or 5 dollars per token in the coming months.
Analyzing RSI and Moving Averages, it can be seen that XRP is approaching the oversold region and now is an interesting point for long-term investments. But if the price falls below the $2 level, the price may pull back further to $1.70 level.
The Role of Regulation
As has been seen, regulation still remains a decisive factor in the XRP valuation. Ripple Labs recently obtained a small legal win after courts determined that XRP is not a security when traded on such exchanges. This decision has enhanced investor confidence and attracted a lot of institutional investment.
The following is in line with the above sentiment, Ripple’s partnerships with institutions are growing internationally. The New York Department of Financial Services (NYDFS) only recently approved Ripple’s stablecoin project named RLUSD which will also advance XRP as a payment mechanism.
In any case, the regulatory outlook remains rather ambiguous. The SEC continues to appeal some aspects of the case against Ripple and more legal advances may affect XRP’s price in the short term.
Market Sentiment
Overall, there continue to be positive investors’ expectations towards XRP and in the broader cryptocurrency market that is currently at a Fear & Greed Index of 81 which is extreme greed. It suggests increased market interest but it is an early sign of overbought market conditions and, therefore an alert sign.
The market capitalization of cryptocurrency is still standing above $2 trillion, and XRP continues to be a representative of the cryptocurrency market. Large investors, especially in Asia and the Middle East, have taken an interest in Ripple’s technology through which XRP can be adopted.
Expert Opinions on XRP’s Future
Market analysts have different views on this matter. The longer-term target is potentially higher as, some analysts expect XRP to rise from $3, through and consolidate above that, to trade at between $4 and $5 by early 2025, depending on the pace with which institutions come into the XRP ecosystem, as well as resultant clarity on regulation.
Crypto influencer CredibleCrypto recently said, ‘XRP is one of the best cryptocurrencies to buy for 2025. That way if one is waiting for $1.50 to re-enter, he or she may not re-enter at all.
On the other hand, critics use volatility and possible regulatory issues as the basis for caution regarding XRP. Experts at large Wall Street firms had a similar strategy, where XRP is useful for getting returns, but it is also high-risk, so one should not invest heavily in it.
Factors to Consider Before Buying XRP
If you’re considering investing in XRP while it’s under $3, here are some key points to keep in mind:
- Market Volatility: XRP has been volatile in the past as far as its price explosion is concerned. Be advised of possible short-term volatility.
- Regulatory Risks: Amid legal battles, XRP might not be as stable as other cryptocurrencies; this puts its price at risk. Update yourself with the regulatory measures.
- Adoption and Use Cases: Through its suite of products that provides cross-border payment services and through partnerships with banks, Ripple brings benefits to XRP.
- Risk Tolerance: Beginners should only put in what they can afford to lose since the market of these digital currencies is highly risky.
