Ripple’s XRP price should go to $20 in 2019, or, ultimately, 2020, is what we wrote in our Ripple price forecast 2019. In doing so we predicted that Ripple’s XRP would become the largest cryptocurrency. Readers may challenge us, saying the price of XRP is flat. Is our bullish forecast realistic? Yes, is our answer, and we would suggest to look at the long term chart of XRP. This chart pattern of XRP is very recognizable, isn’t it?
Fundamentally, Ripple remains the strongest story in the crypto space. Just last week we saw this news item on Ripple’s website announcing that the Ripplenet customer based is +200. This really looks like traction, and an acceleration going on in growth of the user base.
As per our fundamental Ripple analysis is is traction that is the key driver for identifying future outperformers in the crypto space:
The most important signs to look at is ‘traction’. In startup terms it means that there is product/market fit. This means that the startup develops a product or service in a way that it solves a problem for certain segments of the market. The larger the market the bigger the potential for the startup.
The other aspects like risk management, legal compliance, and so forth, will follow if and once a crypto startup gets traction. That’s where they will have access to capital which then creates room to attract the right partners to help in this space.
Ripple needs time to build its complex eco-system in a legally ‘correct’ manner
Ripple, the company, was very clear that they take this legal compliance topic very, very seriously. They work closely with the U.S. Fed, as explained in What If Ripple XRP Becomes The Federal Reserve’s Preferred Technology In 2019. We see that Ripple is doing the right things, but crypto investors have to give a minimum of time to allow Ripple to work things out properly with the official instances.
This article on CNBC is such a great illustration of how impatient people can be. There is a lot of misinformation in this article, only visible to astute readers though.
Take for instance this quote: “The managing partner of Multicoin Capital is short XRP, meaning he is betting against it. He said if it weren’t for Ripple’s interest in XRP, there wouldn’t be a need for it at all, instead advocating for dollar-backed cryptocurrencies called stable coins. “If you can look past the class-action lawsuits and other serious regulatory concerns, there’s still a slew of reasons to be bearish,” he said. “XRP’s future as a liquidity bridge for banks looks bleak at best.”
So anyone looking at the company site of Multicoin Capital will find that one of their ventures is MobileCoin. Is there any coincidence that this venture is doing somehow similar things as Ripple is doing. We don’t say it is exactly the same, though there are strong similarities in the end product (not the technological setup though)? Coincidence? Of course there are people that are against XRP because of their disruptive potential and because of competitive reasons! CNBC should have laid out the potential conflict in interest instead of just copying a quote with this context.
More interestingly would be the question “what exactly is legally correct for an asset that did not exist 7 years ago?” Let’s face it, this industry is so young that literally nobody has figures everything out. Time is needed, no need to be impatient.
Ripple’s XRP Has This Very Recognizable Chart Pattern
This article is primarily focused on the chart pattern of XRP.
As said, one may challenge our bullish viewpoint, arguing that XRP is flat since a couple of months. How can InvestingHaven’s research team justify a bullish viewpoint?
As per our 100 investing tips it is very frustrating to look at flat prices. This is one of our investing tips:
Consolidations are very frustrating both for traders and investors. This is the type of situation in which the vast majority of traders and investors show no patience. They then sell with a loss, only to find themselves chasing prices higher after a certain time period. This is how Mr. Market works, and investors better understand this dynamic before falling victim.
Investors have to be aware of this. Looking at long term charts is the way around this.
Ripple’s XRP has indeed a flat pattern since last October. However, what is shaping up, at the time of writing, is a very recognizable pattern as in 2015 and 2016. Right before the giant breakout that lead XRP from $0.013 to eventually $3.5 it had been consolidating in a tight range.
Consolidations are frustrating, but, more importantly, they are great opportunity for long term investors that have patience.
We see a similar scenario unfolding in 2019 and maybe even 2020, similar to ‘back then’, before XRP starts rising. As always, the ones that are not in the market when prices rise will find themselves chasing prices higher, only to buy near a major top and end up with frustrations during the subsequent correction.
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