Three Factors That Could Decide When XRP Will Hit $1

Following the latest resurgence from XRP, here are some factors that can determine how quickly the coin may move back to the $1 threshold.

XRP has been slowly grinding back up from its recent lows. The much-maligned cryptocurrency rose as high as $0.58 in the past 24 hours and has gained nearly 9% in the past week alone.

The recovery has reignited talks about XRP potentially rising as high as $1 in the coming months. Notably, the last time XRP traded around $1 was in late November 2021 after the crypto market’s previous cycle peak.

This confirms that a move above $1 is not an unfamiliar trip for XRP. Nonetheless, the following factors could potentially influence how quickly XRP returns to that price level. 

Broader Crypto Market Condition

In the past month, the global crypto market cap has added $400 billion. While a significant amount of the new capital has flown into Bitcoin, altcoins have also benefited, with several coins adding billions to their market cap over the same timeline. 

Evidently, a continued bullish momentum for the crypto market bodes well for XRP. Many analysts have tipped the cryptocurrency for an epic run similar to 2017, and favorable market conditions only make such an outcome more realistic.

With the Bitcoin halving around the corner and the crypto market looking primed for its historical four-year rallies, XRP’s price could ride along and deliver returns for investors.

In the event of such an outcome, XRP may push toward hitting the $1 mark, although developments elsewhere could pose a challenge. 

Regulatory Developments

It is widely known that Ripple’s legal battle with the United States Securities and Exchange Commission (SEC) impeded the asset’s performance during the last bull run.

There is no guarantee that such an outcome will not repeat itself, especially with Ripple likely to seek complete victory in the lawsuit. 

On the positive side, Ripple’s legal team expects the case to come to a climax in 2024. However, the big hope for XRP investors is that the Ripple case is resolved early enough for the cryptocurrency to move ahead with its peers in a possible rally. 

Following the landmark ruling in July 2023, XRP surged as high as $0.82. Hence, it will be completely in order if the coin rises back to above $1 if conclusive developments such as a settlement materialize.

Ripple Partnerships and Developments

As the crypto markets began recovering in 2023, Ripple made headlines for complete key acquisitions, notably including crypto custodian Metaco.

The company has also gotten 2024 off to a good start, revealing recently that it is acquiring another crypto custodian, Standard Custody.

Ripple’s latest acquisition adds to growing evidence that the company is doubling down on custodial offerings to back up its payment capabilities.

However, only time will tell if these developments will take off to a stage where XRP onboards the biggest financial institutions to its network.

Also, it remains to be seen if these partnerships will pave the way for increased usage of the XRP Ledger and create more awareness and demand for XRP. Such an outcome could help XRP get to $1 faster.