XRP Price Prediction: 50% Drop Possible?
XRP Price Could Drop 50%, Warns Analyst
Veteran market analyst Peter Brandt has issued a bearish prediction for XRP, suggesting a significant price decline by the end of the year. Despite recent gains, Brandt believes the asset's momentum may be unsustainable.
Brandt's analysis, shared on X (formerly Twitter), presents two scenarios for XRP's market capitalization by year's end:
- Scenario 1: ~$116.67 billion market cap
- Scenario 2: ~$60 billion market cap
Both scenarios represent a decline from XRP's current valuation. This prediction stems from a technical pattern Brandt identifies as a classic head-and-shoulders formation, often indicating a trend reversal. He projects XRP could fall to as low as $1.07.
Brandt emphasizes that a break below $1.90 would confirm this pattern and likely trigger a correction exceeding 50%. However, a price break above $3.00 would invalidate his bearish outlook.
Recent XRP Surge and Catalysts
Brandt's cautious forecast comes after a remarkable XRP price surge since late 2024, fueled by several factors:
- Political Shift: The return of Donald Trump to the White House and a perceived friendlier stance toward digital assets.
- Regulatory Relief: The SEC's decision to drop lawsuits against several crypto companies, including Ripple, significantly reduced regulatory uncertainty.
- ETF Launches: The launch of XRP-focused exchange-traded funds (ETFs).
- Ripple's Stablecoin: The introduction of Ripple's stablecoin, RLUSD.
Despite these positive developments, Brandt's warning highlights the potential for a market correction if bearish pressure intensifies. Investors should proceed with caution.
Ripple's IPO Plans
Amidst the price volatility, Ripple CEO Brad Garlinghouse has confirmed that the company has no plans for an initial public offering (IPO) in 2025, prioritizing product development and expansion. While not completely ruling out a future IPO, Garlinghouse indicates that such a decision depends on future business needs and the evolving regulatory landscape.
Disclaimer: This analysis is for informational purposes only and does not constitute financial advice. Conduct thorough research before making any investment decisions.
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