xrp crypto value

Buy Ripple While It’s Under $1 As a Speculative Bet on Crypto’s Recovery

Ripple (XRP) Crypto News: Why XRP Prices Are Gaining Today
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If I had to buy one cryptocurrency, it wouldn’t be the case ripple (CCC:XRP-USD).

Close-up of the XRP symbol with the logo and ripple in raised text.

Source: shutterstock

However, XRP is very low priced compared to other big cryptocurrencies and compared to its recent trends. If you are looking to bet on cryptocurrency speculation, buying XRP for less than a dollar would be a smart place to start.

This is why I recommend Ripple to those who are looking to speculate on cryptocurrencies.

Great coding restart

China starred in the latest cryptocurrency correction as a country handcuffed employment Bitcoin (Customs Cooperation Council-BTC-USD) Miners. To some extent, Elon Musk has played a supporting role as Tesla (NASDAQ:TSLA) Stop accepting Bitcoin payments to its vehicles on May 12. He felt that the environmental impact of Bitcoin went against everything that Tesla stood for.

As a result, the value of all major currencies plummeted. On May 18, XRP was trading around $1.70. By May 22, it had fallen to less than 70 cents. Over the same five days, bitcoin fell from around $43,000 to nearly $31,000, down 27%. If it retraces to May 8, BTC will lose 47% of its value.

How much loss did Ripple lose in the same 15 days? Nearly 59% of its value, dropping from $1.60 to 65 cents.

Cryptocurrency buyers should not be surprised by the recent correction. Over the past year, Ripple’s experienced four major corrections, three of which provided more than 50% losses.

At the end of April, when XRP was trading around $1.36, I argued that it was because of the correction. This though Investor William White has provided readers with several expert predictions of $2 or more by the end of the year.

I didn’t have any special inner scoop on Ripple. I just felt like it went too far and too fast. Looking at the China/Tesla combination, I got lucky with my estimate. XRP likely to reach $3.30 by the end of May – PrimeXBT . Market Analyst Kim Chua predicted prices – if not for those events that interfere with his progress.

XRP is now trading at around 87 cents, and XRP is becoming an even more attractive speculative bet. With the exception of the recent correction, almost the entirety of the cryptocurrency has been trading at over $1 since the beginning of April, with the exception of a nearly two-hour drop on April 25. This is the better part of two months.

Although I’m not a technical analyst, 80 cents seems to be the support line for XRP at the moment. Unless Ripple Labs receives bad news about its battle with the SEC, I think the odds of it moving above $1 in the next 2-4 weeks are much higher than below 80 cents.

Sure, you might be able to buy on a temporary dip below 90 cents, but if the experts are right and XRP is trading above $2 by the end of 2021, you will lose the multiplier by a few pennies.

In other words, today’s risk-to-reward offer is appropriate for the speculative investor.

What will the ripple become?

My colleague did an excellent job covering cryptocurrency in 2021. On May 21st, White introduced his readers to Five interesting facts Regarding Ripple, the Securities and Exchange Commission (SEC), and crypto-future facilities for banks and other financial institutions.

I firmly believe that the winning cryptocurrencies in five years will be the ones that provide utility first and store value second, and not the other way around. and while I really love Cardano (CCC:ADA-USD), it is hard to ignore the fact that Ripple has partnered with National Bank of Egypt, the largest bank in the country, to facilitate cross-border payments from the United Arab Emirates (UAE) to Egypt.

“The National Bank of Egypt’s partnership with Ripple will help with this.” improve overall efficiency Hisham El-Safty, Group Head of Financial Institutions and International Financial Services at the National Bank of Egypt, stated in a press release on May 18, by enabling the National Bank of Egypt to establish new alliances across broader markets at a lower cost and faster integration time.

“We are very excited to announce our new partnership with Ripple and Lulu which we believe will further accelerate the remittance corridor between Egypt and the UAE.”

When you read something like this, it’s easy to be cynical about the benefits of this partnership. After all, if you’ve invested enough time, you know that sometimes statements made to announce partnerships aren’t worth the paper they’re written on.

It certainly makes sense to follow this story to its final conclusion. If RippleNet continues to build these kinds of partnerships, it’s hard to bet Ripple.

The bottom line on Ripple

I am still debating to myself about the need to buy cryptocurrency. I know a lot of smart people who have It is well used. We all have our wins and our losses.

At the beginning of the year, I would probably say with 100% certainty that I won’t have XRP or ADA in 2021. Those odds drop dramatically once I get a better understanding of how these things work.

However, I am not there yet. I would say the probability at this point is about 50%. We’ll see how I feel three months from now.

In the meantime, if you are a speculative investor, buying Ripple for less than $1 makes sense. But only if you can afford to lose 100% of your investment.

Published in, Will Ashworth He did not have (directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the author, and are subject to InvestorPlace.com Posting Guidelines.

Will Ashworth has written about investments full time since 2008. Publications he has appeared on include InvestorPlace, The Motley Fool Canada, Investopedia, Kiplinger and many others in the US and Canada. He particularly enjoys creating model wallets that will stand the test of time. He lives in Halifax, Nova Scotia. At the time of writing, Will Ashworth does not hold a position in any of the securities listed above.

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