Ripple, also known as XRP for short, is a type of cryptocurrency. Ripple is reportedly known as one of the most popular cryptocurrencies among users. But why? What are the capabilities of this cryptocurrency? What future do cryptocurrency experts and analysts predict for Ripple cryptocurrency? In this article, we will introduce XRP and in the next step, we will make it easier for you to predict the future of this cryptocurrency by examining the opinions of analysts. Stay with us.
Ripple
In general, any cryptocurrency currently traded in the market is initially created with a specific purpose. So, Ripple was definitely created with a purpose and to solve a specific problem. To better understand the application and main purpose of the Ripple project, it is enough to think about why it takes so many days to transfer money to other countries in the world of technology today. Interestingly, in addition to the large amount of time spent on this transfer, a significant amount is deducted from the user’s account as a fee.
In your opinion, can this not be considered as a weakness of the world banking and financial system? Developers of Ripple cryptocurrency consider the main reason for such problems to be the lack of updating of the banking and financial system of countries. According to them, the solution that met the needs of users 40 years ago should not be used in today’s world of technology. In general, it can be said that transfer problems were the main reasons for the formation of the Ripple project idea.
Chris Larsen and McCaleb’s forefather, who are known as the founders of Ripple cryptocurrency, have greatly facilitated the money transfer process around the world by using blockchain technology and creating a dedicated network. Many experts consider the unique and functional structure of Ripple as the main reason for the popularity of this cryptocurrency among users. In fact, the Ripple project needs the support of banks and international payment systems to thrive in the global community. Simply put, banks can provide Ripple’s proprietary network services to their users in order to improve performance and provide more capabilities. So, XRP has made it possible to transfer money quickly and easily to all parts of the world by creating a reliable platform.
Forecasting the future of cryptocurrency in 2021
As mentioned in the previous sections, Ripple is one of the most popular cryptocurrencies among users. Ripple’s progress in recent years has made it one of the world’s leading cryptocurrencies, along with Bitcoin and Ethereum. Will this trend continue in 2021? What future awaits Ripple investors?
First of all, keep in mind that high fluctuations in the cryptocurrency market have made price forecasting difficult, even for experienced analysts. Therefore, none of the experts and analysts in this field can give you a definite and accurate forecast of the situation. But, you can control and manage the potential profit and loss, to some extent, by considering the factors influencing the price of Ripple, for example, the reaction of investors to the news published in cyberspace in most cases causes the price of XRP to fluctuate in the market. To better understand the effects of the news, just imagine when several reputable exchanges decide to cover Ripple cryptocurrency services after a long time, or when XRP developers add new features to Ripple’s proprietary network. News of such events directly affects the price of Ripple cryptocurrency.
From the beginning of cryptocurrencies until now, news and analysts’ opinions have caused prices to fluctuate. So, this trend will definitely continue in 2021. Experts in the field of cryptocurrencies believe that the most news that causes the price of Ripple to go up and down is the news of the participation of reputable collections and banks in this project. Therefore, the price of Ripple will increase if it cooperates with international payment systems and banks in different countries of the world. Simply put, banks’ cooperation with the Ripple project is a sign of its reliability. So, investors can buy Ripple more easily. The chain of all that has been said significantly increases the network user community. Therefore, considering the points mentioned above, we can predict the upward trend of Ripple price in 2021.
You can also use the concepts of fundamental and technical analysis to approximate possible price fluctuations in the cryptocurrency market. In fact, the findings of the XRP price forecasting sites can be summarized in the following lines:
Almost all experts in the field of cryptocurrencies claim that one of the main factors in increasing the price of Ripple is its cooperation and partnership with banks and international payment systems. In addition, the majority of people consider Ripple a good option for long-term investment.
Will Ripple be on the list of the top three cryptocurrencies in 2021?
The situation of the cryptocurrency market is constantly changing. Accordingly, it is not possible to consider a fixed and definite trend for it. But Bitcoin, Ethereum, and Ripple have been the world’s top three cryptocurrencies for several years in a row. Thus, it is possible that we will see this trend in the cryptocurrency market in the future. According to experts, the main reason for the high popularity of these three cryptocurrencies is their “market value”. You can easily calculate the market value by multiplying the number of cryptocurrency coins you want by its price. Of course, keep in mind that in some cases the main reason for the increase in market value is the high number of coins in circulation of the cryptocurrency you are looking for. Therefore, in the end we conclude that the existence of Ripple in the list of the top three cryptocurrencies in the world is not guaranteed, but we can predict the possible trend to some extent by considering important and influential factors.
Competitive cryptocurrencies
The number of cryptocurrencies that have a similar application to Ripple is increasing day by day. Hence, before making a decision, you need to weigh all the aspects properly so that you can choose the best and most practical option for investing. Suppose one of the competing projects offers better services to its users, in which case the price of Ripple will be significantly reduced. But, on the other hand, if Ripple can provide better services compared to its competitors, the capital of network users will be multiplied. In general, it can be said that only the passage of time can illuminate the path of investors in the field of cryptocurrency because everything can change the trend completely.
Concluding remarks
In this article, we have tried to make it easier for you to predict the potential trend of XRP by providing a general definition of the Ripple mechanism and reviewing the opinions of cryptocurrency experts. As you can see, most people are predicting a bright future for the Ripple project, but still nothing is certain in the complex world of cryptocurrencies. Therefore, it is better to take cautious action seriously, which is one of the requirements of working in this field, and prevent any possible harm by increasing your level of awareness and knowledge.
Summary:
Ripple has become one of the most popular cryptocurrency markets in recent years. Perhaps, the question that has been on your mind is whether this process will continue? What do experts and analysts think about the structure and future of this cryptocurrency? In this article, we will introduce the factors influencing the trend of the Ripple price by providing practical tips.
Reference: hoseinifinance.com
