The XRP token showed a strong bearish action in January by recording a loss of more than 20% in valuation. Furthermore, the price continues its struggle to break its key resistance level of $0.66, indicating a strong liquidation point at that level.
Many analysts predict that this year will be XRP’s year, as Ripple Labs is about to settle its case with the SEC after a four-year legal battle. This is expected to act as a major catalyst for the price in its journey to reclaim the $1 stand.
Historical performance:
With a price tag of ten cents, the XRP price made its first appearance in the year 2012. Over the year, XRP price gained significant traction, resulting in it constantly recording new highs. On January 4, 2018, the token hit an all-time high of $3.84, after which the market crashed, and the price took an 84% hit in valuation.
After this, the price traded sideways for about two years as the market hype regained momentum and the Third Bitcoin Halving took place, the XRP price took a surge in value. In the year 2021, the price reclaimed the $1 tag and recorded a high of $1.9711, after which the market recorded a bearish reversal, leading to a price decline.
Gradually, the market regained momentum, and the price was once again above $1. As the market had just stabilized, the crypto industry experienced the Terra crash, which wiped out over $80 billion in a matter of hours, causing it to experience another price drop. Since then, the price has been trading under a bearish influence.
2024 Events:
Any upgrade or decision that affects the operation of this industry is considered an event in the crypto space. An event plays an important role as it can sometimes affect massive price actions in the market within a short time frame.
Despite the market recording a bearish trend during the first month of the year, the industry is expected to gather significant momentum in the coming time as many major events are lined up, which collectively are expected to push the market up will affect a large scale. Some of these are Bitcoin Halving, Elections, Ripple vs SEC Lawsuit, Potential Altcoin Rally, and more.
XRP Lawsuit:
One of the main factors expected to affect the price of Ripple’s XRP this year is the ongoing case with the Securities And Exchange Commission (SEC). Ripple was sued primarily for allegedly conducting unregistered securities offerings. The case was first filed in 2020 and is expected to be settled this year.
Despite favorable legal support for Ripple, the SEC’s plan to appeal the programmatic sales decision poses a challenge. Judge Torres initially ruled the case in favor of Ripple Labs in July 2023. However, the legal battle continues, with both trying to strengthen their position in the case.
The regulatory uncertainty remains a mystery for the company as this risk poses significant challenges to the company in implementing a new set of strategies and plans for the platform. However, the urgency for Ripple to settle the case is difficult until it meets favorable settlement terms with the SEC.
Bitcoin halving:
The upcoming Bitcoin Halving is the fourth halving and is expected to greatly impact the industry. The main purpose of halving is to alleviate inflation, and therefore occurs every four years.
Many analysts predict that the BTC price will fluctuate between $80,000 and $150,000 after halving. The Bitcoin halving is a periodic event that affects its supply. However, multiple factors involving both internal and external play a significant role in such situations.
The presidential elections:
The US presidential election is considered to be one of the most influential events of this year as it is said to affect the industry on a large scale. If a favorable outcome comes, it is expected that the industry will experience a reduction in the constant fluctuations of policy by the regulators.
This will lead to the industry working more efficiently without facing constant setbacks. This could also affect the XRP price in a big way, as its community is considered one of the strongest the crypto industry has ever seen.
Closure:
Multiple factors are responsible for price action in the industry. The XRP price recorded a massive drop after the Terra crash and traded in a consolidated value for 22 months, indicating a massive bearish influence in the market. Ripple has an ATH of $3.84, which was recorded in 2018.
With several events coming up this year, the XRP price is expected to gain massive market attention as a result and possibly try to regain its $1 mark by the end of the year.
Disclaimer for Uncirculars, with a Touch of Personality:
While we love diving into the exciting world of crypto here at Uncirculars, remember that this post, and all our content, is purely for your information and exploration. Think of it as your crypto compass, pointing you in the right direction to do your own research and make informed decisions.
No legal, tax, investment, or financial advice should be inferred from these pixels. We’re not fortune tellers or stockbrokers, just passionate crypto enthusiasts sharing our knowledge.
And just like that rollercoaster ride in your favorite DeFi protocol, past performance isn’t a guarantee of future thrills. The value of crypto assets can be as unpredictable as a moon landing, so buckle up and do your due diligence before taking the plunge.
Ultimately, any crypto adventure you embark on is yours alone. We’re just happy to be your crypto companion, cheering you on from the sidelines (and maybe sharing some snacks along the way). So research, explore, and remember, with a little knowledge and a lot of curiosity, you can navigate the crypto cosmos like a pro!
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