Why Holding Onto XRP Might Be the Smart Move Right Now
As market players take a step back to cash in on profits, the recent correction in XRP’s price following its impressive surge has caught everyone’s attention. Analyst TheXRPguy has put forth a compelling case for those still holding onto their coins, arguing that there are several key events on the horizon that could trigger another wave of price rallies.
Key Events That Could Propel XRP Higher
In a recent post on X (formerly Twitter), TheXRPguy outlined seven pivotal reasons why investors should consider holding off on selling their XRP. First up is the anticipated launch of RLUSD, a stablecoin pegged to the US dollar that’s set to debut on the XRP Ledger (XRPL). This development is particularly exciting as Ripple inches closer to securing approval from New York regulators.
The introduction of RLUSD could significantly enhance liquidity within the XRP ecosystem, potentially driving prices upward as more users engage with this new asset.
Next in line is Donald Trump’s upcoming inauguration scheduled for January 20 next year. Trump’s return to office could create a favorable environment for cryptocurrencies like XRP due to his historically pro-crypto policies. Investors are keenly watching how this political shift might influence market sentiment and regulatory frameworks.
Another major event highlighted by TheXRPguy is Gary Gensler’s impending exit from his role at the U.S. Securities and Exchange Commission (SEC). Interestingly enough, Gensler will be stepping down coincidentally with Trump’s inauguration day—a timing that many see as fortuitous for Ripple and its supporters. Gensler was at the forefront of legal actions against Ripple, which had cast shadows over XRP’s legitimacy and market performance.
The analyst believes that once Gensler departs, it may pave the way for an end to ongoing litigation against Ripple—an outcome many investors are eagerly anticipating given its potential impact on pricing dynamics.
Additional Factors Supporting Long-Term Holding
Beyond these three significant events, TheXRPguy also pointed out other factors worth considering before making any hasty decisions about selling off holdings:
Emerging Altcoin Season: According to data from Blockchain Center, we’re currently witnessing an altcoin season—a period characterized by rising prices across various alternative cryptocurrencies including XRP. Historically speaking, altcoin seasons have been beneficial for tokens like XRP as they often experience substantial gains during these phases.
Potential Partnerships: There’s speculation surrounding Ripple forming strategic partnerships with major banking institutions aimed at enhancing payment services using XRPL technology. Such collaborations would not only bolster institutional adoption but also provide much-needed credibility and utility for XRPs in real-world applications.
Spot ETF Approval: Another bullish indicator comes from ongoing discussions around Spot ETFs focused on XRP; firms such as Bitwise and WisdomTree have already submitted applications seeking approval from regulators under what many hope will be a more crypto-friendly administration led by Paul Atkins—Trump’s nominee who supports digital assets.
With court rulings already indicating that XRP does not qualify as a security under current laws, optimism surrounding ETF approvals continues to grow among investors eager for mainstream acceptance of cryptocurrency investments.
Current Market Snapshot
As it stands today, you’ll find that XRPs trading around $2.39—a decline of over 9% within just 24 hours according to CoinMarketCap data—but analysts remain hopeful about future price movements based on these forthcoming developments.
While some traders may feel inclined towards profit-taking amidst current volatility in crypto markets—including notable corrections after parabolic rallies—the insights shared by analysts like TheXRPguy suggest there may be ample reason yet not to sell your holdings just yet! With multiple catalysts poised potentially ahead—ranging from regulatory shifts through political changes—it might just pay off handsomely if you choose patience over impulsive action right now!
