Regulation
6 Reasons Why XRP Price Will “Go Up”: Crypto Pundit
In a new YouTube videoCryptocurrency expert Zach Rector has outlined his bullish stance on XRP, providing six reasons he believes will catalyze a significant increase in the cryptocurrency’s price. Rector’s insights come at a crucial time for the crypto asset and Ripple.
XRP Lawsuit Resolution #1
Zach Rector pointed to the imminent conclusion of a protracted lawsuit between Ripple Labs and the U.S. Securities and Exchange Commission (SEC), which has been going on for over three and a half years. He stressed, “You better be ready for this one, because you saw what happened last year with Judge Torres’ decision on XRP. We exploded and basically shut down every exchange.”
The potential resolution of this legal battle could be a major driver of market momentum, potentially easing legal pressures and boosting investor confidence. As a reminder, when Judge Torres issued the decision summary judgment On July 13th of last year, the price of XRP surged by nearly 100% in one day. Lawyer Fred Rispoli recently predicted that the SEC trial could conclude by the end of July.
#2 Liquidity on Demand in the United States
The resolution of the lawsuit could have major implications for Ripple and its XRP-based business. The analyst also noted the expected launch of on-demand liquidity (ODL) services in the United States after the lawsuit ends, as confirmed by Uphold CEO Simon McGlothlin.
The rector enthused: “Flip that switch, as they say, right?” The service, which uses XRP for transaction liquidity, could dramatically improve utility and demand in one of the world’s largest markets.
#3 Presentation of the Ripple stablecoin
To further boost the ecosystem, Ripple plans to introduce a stablecoin in the third quarter, as confirmed by Ripple CEO Brad Garlinghouse. “This is going to bring a whole new wave of liquidity into the XRP Ledger ecosystem,” Rector explained.
The introduction of a stablecoin could expand the use cases of XRP and decentralized finance (DeFi). The latter could improve demand and liquidity, thereby strengthening the market price of the crypto asset.
#4 Anticipation of pro-crypto regulations
Rector also touched on the broader regulatory landscape in the United States, suggesting that upcoming cryptocurrency regulations could boost the industry. He noted, “XRP, along with Ripple’s compliance-focused mindset, is perfectly positioned.”
Although the regulation may not materialize until next year, its potential to clarify legal status could positively influence the price. If Donald Trump wins the US election in November this year, experts assume that Gary Gensler will have to step down as SEC chairman. This could herald a wave of new cryptocurrency-friendly regulations and possibly end the “Operation Chokepoint 2.0“.
#5 Emergence of Spot XRP ETFs
Citing the example of Europe, where XRP ETFs are already operational, Rector predicts that similar financial products will emerge in the United States. “We’re going to see XRP ETFs. It’s inevitable. They’re already operational in Europe. We’re going to see them here in the United States and it’s not just a, I put a plural with an “s” there because we’re going to see baskets of ETFs that include XRP,” he said.
These ETFs will likely improve liquidity and provide a new channel for institutional and retail investment. Notably, Ripple CEO Garlinghouse sharing In February, a prediction that Spot XRP ETFs are likely to launch in the US at some point. “I think it makes sense. There will be other ETFs […] “It’s hard to predict when we’ll see them,” Garlinghouse noted.
#6 Favorable macroeconomic trends
Finally, Rector speculated on the impact of macroeconomic policies, such as continued monetary expansion, on cryptocurrencies. He suggests that an increase in money printing, regardless of the political administration in the United States, will undoubtedly benefit the price of the crypto asset and the crypto market as a whole.
“Speaking of liquidity, no matter who gets elected, we expect more money printing. So now is the time to prepare. We expect XRP to take a step forward,” Rector concluded.
At press time, XRP was trading at $0.6272.
Featured image created with DALL·E, chart by TradingView.com