2017 was a significant year for numerous cryptocurrency establishments, and Ripple (XRP) was certainly one of the most prominent among them. According to the current market cap, it is the third-largest cryptocurrency in the world. This feat was achieved when the XRP’s price exponentially grew by almost 36,000% last year. In December 2017, the XRP prices soared after American Express and Banco Santander revealed that they have given Ripple’s blockchain technology a green light and will incorporate it in some of their foreign transaction processes. Although Ripple (XRP) deals with cryptocurrencies, its structure is fundamentally distinctive as compared to Ethereum, a multi-purpose platform for decentralized Smart Contracts and Bitcoin, which is a transfer medium. This technology allows swift global transactions and is meant for financial institutions and banks. Apart from owning the cryptocurrency, Ripple also runs a real-time gross settlement system (RTGS).
Since the impressive surge in its numbers, current, and potential investors are left wondering if the Ripple (XRP) prices will continue to surge in 2018 too. Like any other cryptocurrency, Ripple (XRP) is recognized for its volatility due to several contributing factors. Palpably, the Ripple price prediction for 2018 is bound to modify due to the ever-evolving market. However, identifying and monitoring the right parameters will allow you to smartly invest in Ripple (XRP). The factors mentioned below can strengthen this cryptocurrency’s current market position as well as help you to make and act on the right Ripple price prediction for 2018.
- Expansive global market – The World Bank estimates that international remittances will witness a growth of approximately 3.4% in 2018. This figure roughly amounts to $466 billion, which indicates that Ripple has an incredible opportunity to magnify its presence.
- An upper-hand over prevailing transfer mediums – Making payments overseas via bank wire transfers can be an expensive and a time-consuming option. Alternatively, Ripple facilitates swift transactions at a low fee.
- Increased credibility – Ripple has partnered with well-known international banks and financial institutions. Such corporate associations have promoted the use of Ripple (XRP) not just in business circles but also among individual investors, positively affecting the Ripple price predictions for 2018.
- 55 billion XRP in escrow – For supply predictability, Ripple placed around 55 billion XRP into a secure escrow account in December 2017. This move has directed the Ripple price predictions for 2018 on a progressive path as it has appeased the concerns about the company flooding the market by selling a lion share of its XRP.
Although Ripple price prediction for 2018 is promising, it comes with certain drawbacks that could potentially affect its cryptocurrency’s performance.
- Stuck in its testing phase – Although big players such as Western Union, Central Bank of Saudi Arabia, UniCredit, UBS, and Santander have partnered with Ripple, its technology is still being tested by them. This establishes some level of uncertainty until it is widely accepted for business use.
- Privacy issues – A cryptocurrency is widely praised for its key features, which are decentralization and anonymity. However, Ripple, because of its technological structure is promoted among banks and other financial institutions, which according to several experts and cryptocurrency enthusiasts threatens the privacy.
- Regulation – Most cryptocurrencies are still unable to tap the mainstream financial markets as there are strict regulations and political debate surrounding its use. These challenges can add skepticism and considerably delay the adoption of Ripple (XRP) in regular markets.
- A supply of 100 billion XRP – Ripple has a supply of over 100 billion XRP, out of which only 35 billion is in circulation. Having such a high amount of cryptocurrency at disposal sparked a lot of concern about market flooding in 2017. However, Ripple pacified this issued by escrowing 55 billion XRP. Although, there is still some apprehension about the consequences of such supply-demand curve.
While there is an uncertainty surrounding XRP, presently the investors are hopeful about is performance. Some Ripple price predictions for 2018 suggest that XRP could hit the roofs with a price range of around $5 to $10 by the end of this year. Conversely, a few experts suggest that Ripple solutions might not sustain for long and the XRP prices might fall to almost 0.68 as financial organizations might be hesitant to embrace it completely. Speculations aside, Ripple price prediction for 2018 depends on major economic events around the world. Until now, XRP has had some positive developments like tie-ups with Japanese domestic banks and partnership with MoneyGram. Therefore, May 2018 is the best time to invest in Ripple (XRP).
How to invest in Ripple (XRP)?
Before investing in Ripple, ensure you research well and understand all the possibilities surrounding it. Likewise, to be on the safer side, talk to your financial planner or have a word with someone who has invested in XRP. To invest an XRP, you need to create an account on Ripple and purchase its cryptocurrency via exchanges like CoinOne, Bitso, Bitstamp, Kraken, Korbit, BTC Markets, LiteBit, Bitsane, Coincheck, Qryptos, Bitbank, CEX, GateHub, and BitOasis. Every digital platform will operate in a slightly different manner and might facilitate only a certain payment option. To gauge the short-term and long-term Ripple price predictions for 2018, you can visit financial platforms online to stay updated on the XRP volatility.