The outcome of the SEC vs Ripple case is expected to drive the price of cryptocurrency in 2022
When the price of Ripple fell from an all-time high of $3.31 to hold the $1 level, people thought that this was the end of the digital token. However, XRP managed to stay afloat throughout 2021. Expectations suggest that the state of XRP vs SEC may be an ice-breaker in 2022, which will eventually push the value of the cryptocurrency towards new highs in the coming year.
Ripple is one of the most interesting cryptocurrencies in the virtual ecosystem. In the face of its competitors including Bitcoin, Ethereum, Cardano and Solana with its market influence, Ripple does not stand as a decentralized broker. Instead, it is closely associated with central authorities such as banks and financial institutions around the world. Although the crypto space and investors believe in the freedom of tokens, they still have a soft corner for XRP that keeps the digital token thriving even in heavy winds. Many crypto enthusiasts believe that the exclusivity of Ripple is the main factor driving its price towards new heights. However, XRP hasn’t had a picnic in the digital ecosystem yet. It ran into trouble when the SEC again sued the company to acquire its digital token in 2020, which ultimately affected the price of Ripple in 2021. Thankfully, XRP managed to reach its cyclical highs in April and August of this year, giving hope For investors to return. According to experts, if the XRP vs SEC case ends in Ripple’s favour in 2022, a whole new formula for the crypto industry will be created.
A Brief History of Ripple
Ripple, the company behind XRP, offers a payment protocol that is comparable to a payment system, money transfer network, and currency exchange. Ripple features its own cryptocurrency called “XRP” backed by RippleNet. It is used by financial institutions to promote faster transactions with lower fees. An address containing 1 million to 10 million XRP saw a growth of approximately 18% to 3.32 billion owned tokens. This may indicate a positive trend for XRP accumulation with massive growth expected in 2022.
XRP Price Analysis
At the time of writing, the price of Ripple is $0.9234. If we go through the price chart, we will know how the digital currency has crystallized as a cryptocurrency since its inception. Launched in 2013, XRP maintained a straight streak until 2017 before setting new records. Yes, when the sideways movement ended in 2017, the price of Ripple rose 35,000%. This happened against the background of Ripple signing deals with more than 100 banks to use its RippleNet platform.
Ripple price reached an all-time high in 2018 before facing challenges later on. After hitting a record high, the digital token has fallen due to the fear of new regulations in the Asian market. Ultimately, Ripple took further blows from the ban on crypto ads on Facebook and India’s regulations on digital tokens. Fortunately, XRP had a brief time of fun in September when it gained 140% in value. 2019 was a stable year for the digital token. However, things went downhill when the SEC filed a lawsuit against Ripple in 2020, consolidating the bearish trend higher in the coming years.
Ripple in 2022 and beyond
Looking at the recent trend, it appears that XRP is forming a cup and handle in the chart that is expected to increase in value in the coming days and lead in value in 2022. According to the forecasters, this cup trend has the potential to set in. Ripple price is $34. Besides, expectations are also that XRP will break its previous high and set new records if XRP wins the SEC court battle. Eventually, Ripple will enter the double-digit region by gaining fame in Europe and the Middle East countries. Some of the other factors that drive the Ripple price are mentioned as follows.
- Ripple’s core technology can support large transactions around the world with relatively lower fees.
- Popular cryptocurrency exchanges like Gemini, Binance, and Coinbase allow XRP to be traded on their platform.
- Its developing core business helps it manage an outstanding relationship with new and old investors.
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