Analyst Highlights Modest Expectations for XRP Price Post-Ripple Settlement
Anticipation surrounds the Ripple and SEC settlement, yet analysts caution against expecting a significant XRP price surge similar to July 2023. Current market confidence reduces the surprise factor, leading to expectations of a modest increase. Analyst Dom points to Ripple’s post-settlement plans as potentially more impactful for XRP’s future growth.
As the anticipated settlement between Ripple and the U.S. SEC approaches, analysts caution that XRP may not experience another significant price surge akin to the one seen in July 2023. According to sources reportedly informed by FOX Business journalist Eleanor Terrett, discussions between Ripple and the SEC regarding settlement terms have commenced after an initial delay primarily due to Ripple’s pursuit of more favorable terms.
XRP holders have eagerly awaited this news, anticipating it will drive the price upward. However, analyst Dom expresses concerns that the response may not be as explosive as desired, suggesting disappointment may follow the announcement of the settlement news this time around.
In July 2023, XRP witnessed a remarkable price surge of 100% within four hours due to a court ruling declaring it not a security. This unexpected verdict intensified buying activity, setting XRP on a rapid upward trajectory. Unlike that surprising ruling, the current consensus in the market indicates strong expectations of a settlement, diminishing any shock factor that could lead to a similar price explosion this time.
Dom notes that the focus has shifted; while the 2023 legal ruling clarified XRP’s status, the present situation centers on Ripple as a company settling penalties for past illegal sales to institutional investors, resulting in a substantial $125 million fine.
Dom suggests that although positive momentum may arise from the settlement news, any resultant price increase for XRP may remain modest, perhaps capped at around 20%. With XRP trading at $2.22 currently, this projection suggests a price potential of approximately $2.64 should this rise occur.
Furthermore, Dom indicates that Ripple might have postponed announcements regarding new projects or developments, waiting until legal issues with the SEC are resolved. He posits that such subsequent news could significantly influence XRP’s long-term trajectory, acting as a more powerful price driver than the settlement alone.
In summary, while the upcoming settlement between Ripple and the SEC holds promise for XRP holders, analysts urge caution regarding expectations for a significant price surge. The decrease in surprise factor compared to the July 2023 ruling, coupled with a more modest market response, suggests that any increase in XRP’s value may be limited. Furthermore, Ripple’s future announcements post-settlement could play a crucial role in shaping the cryptocurrency’s long-term growth.
Original Source: thecryptobasic.com
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