XRP has been trading below $1 for some time, with recent declines emphasizing its challenges in reaching this target. Over the weekend, XRP’s value fell to $0.4930, breaching the psychological support level of $0.50.
This drop reflects a larger correction in the cryptocurrency market following notable gains last week, including Bitcoin’s rise past $73,000, a level not seen in seven months.
However, XRP’s price gains failed to keep up with this broader market momentum, peaking at just $0.5300 during the rally before slipping back. Despite past price surges, the token has not reached $1 for over two years, with each attempt stalling due to various factors, sparking ongoing speculation within the community.
In a recent post on X, the U.S.-based exchange Uphold, recognized for its supportive stance on XRP, stirred discussion with a question: what is the primary factor holding XRP back from doubling its price to $1? This question drew considerable engagement, with responses reflecting a range of theories and concerns.
Community Insights on XRP’s Underperformance
Several prominent voices within the XRP community weighed in on Uphold’s post. Community member Hugh Morris suggested that internal forces are suppressing the digital asset’s growth, saying, “The switch has yet to be flipped.”
Others see the issue as rooted in low transaction volumes. X user Timothy Michael, for instance, attributed XRP’s underperformance to insufficient trading activity on the XRP Ledger (XRPL). This point, however, appears to contrast with Ripple’s latest quarterly report, which indicated a 99% increase in XRPL transactions on a quarter-over-quarter basis.
Another contributor, known as “WallStreetBulls,” argued that the introduction of an XRP/RLUSD trading pair could help the token’s price break through to new levels. He speculated that once XRP is listed with RLUSD, a soon-to-be-launched stablecoin, the price might surge, possibly reaching $20 or even $30 if paired options like XRP/BTC, XRP/USDT, and XRP/USDC are removed.
Yet, others are skeptical, questioning whether adding this trading pair alone would have a substantial enough effect to trigger a meaningful rally for XRP.
Ripple’s chairman, Chris Larsen, has also drawn attention to XRP’s recent performance. Some users argue that XRP donations made by Larsen to fund Kamala Harris’s campaign could be contributing to a negative perception of the token.
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SEC Lawsuit’s Impact on XRP’s Market Performance
Ripple’s ongoing lawsuit with the U.S. Securities and Exchange Commission (SEC) continues to loom large over XRP’s market prospects. The regulatory uncertainty surrounding the case remains a key factor, with Ripple acknowledging in its recent quarterly markets report that the SEC lawsuit directly impacts XRP’s value.
Ripple’s report specifically noted that the ongoing legal challenges from the SEC are an influential barrier to achieving higher price targets for XRP.
The lawsuit has made some investors reluctant and, for some, cast a shadow over XRP’s potential. The regulatory ambiguity hampers market confidence, limiting the token’s appeal and slowing adoption. While the SEC lawsuit remains unresolved, XRP’s price appears likely to remain volatile.
The Road Ahead for XRP: Is $1 Achievable?
At the time of writing, XRP trades at $0.5106, a significant distance from the elusive $1 mark, which it last reached in 2021. To reclaim this level, the token would need to rise by an additional 95.8%—a challenging task given the current conditions.
Ripple’s stance on the lawsuit, community concerns over volume and sentiment, and macroeconomic pressures all weigh on XRP’s outlook. Until these barriers are resolved or alleviated, the token’s path to $1 will likely face further hurdles, though its community remains hopeful for a breakthrough.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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