MichaelXBT, a seasoned crypto trader and long-term Bitcoin investor, reveals he would secure a $1.5 million profit if XRP hit his $2 price target.

The analyst disclosed this on X at a time when XRP is feeling the heat from the broader market’s consolidation trend. Notably, XRP recorded an impressive 18.54% intraday spike on Aug. 7 on the back of the final ruling in the legal battle between Ripple and the SEC.

XRP Stuck in Consolidation

This upsurge allowed the altcoin to breach $0.60, but it faced intense resistance at the $0.64 region. XRP eventually faced a correction, and has retraced some of these gains at press time. Despite the retracement, traders such as MichaelXBT remain optimistic of XRP’s long-term outlook.

Notably, MichaelXBT disclosed last month that XRP was trading within a massive 7-year symmetrical triangle. Several analysts have mentioned something similar, confirming that the symmetrical triangle formed when XRP collapsed from the $3.31 all-time high price in January 2018. 

Interestingly, MichaelXBT asserted that XRP was on the verge of breaking above this pattern. The Bitcoin investor argued that the breakout could occur this month. Amid prevailing pessimism, he stressed that his conviction is due to the fact that XRP is now at the apex of the triangle. 

A Modest $2 Target

However, the analyst has persistently contended that XRP’s breakout would lead to massive rallies expected by other market watchers. Commenting on an analysis envisioning a $150+ price for XRP, MichaelXBT suggested that this was delusional. 

In a disclosure on Aug. 10, he noted that those expecting a 100x pump from XRP would face disappointment. Meanwhile, in an earlier remark, the trader confirmed that he expects XRP to reach a target of $2. This would mark a 251% increase from XRP’s current price of $0.5687, significantly below the massive targets such as the 11,745% surge recently predicted by analyst Amonyx.

Despite his conservative target, MichaelXBT has confirmed that he could still make over $1 million from XRP. According to him, he would witness a profit of $1.5 million if XRP reached the $2 price. 

If XRP hits my $2 target I’ll make a quick $1.5 Million

When it hits that level I plan on moving the profits into other alts with bullish set-ups

— Crypto Michael (@MichaelXBT) August 10, 2024

This would only occur if the analyst had a substantial capital in XRP. If the $1.5 million figure represents his total investment amount at an XRP price of $2, then he holds $750,000 worth of XRP now. This would mean he currently holds 1.318 million XRP tokens at the current price.

Dennis Kelleher, Better Markets’ President and CEO, expresses confidence in the SEC’s likelihood of winning on appeal against Ripple. 

According to Kelleher, the SEC has a 90% chance of succeeding on appeal. Kelleher issued the speculation in reaction to claims made by Ripple CLO Stuart Alderoty regarding the possibility of the Second Circuit overturning Judge Torres’ decision. 

Ripple CLO Says SEC Has 10% Chance of Winning on Appeal 

As reported earlier, the Ripple CLO asserted that the Second Circuit would not overturn Judge Torres’ decision on XRP’s non-security status and secondary market trading of the coin. For context, Judge Torres held that XRP in itself is not a security and that secondary market trading of XRP does not constitute investment contracts.  

In a recent interview, Alderoty characterized the decision as the law of the land, noting that the SEC is unlikely to succeed at the appellate court. According to Alderoty, the Second Circuit rarely overturns lower courts’ decisions, with reversal rates occurring at less than 10%. 

This suggests that Alderoty believes the SEC has a less than 10% chance of winning on appeal. 

Kelleher Refutes Alderoty Claims, Says SEC Has a 90% Chance of Success

However, Kelleher thinks the SEC stands a higher chance of winning on appeal against Ripple, placing the odds at 90%. 

The Better Markets CEO criticized the Ripple judge for turning 90 years of law upside down when “he” ruled that securities laws should protect only sophisticated investors, with no protection for unsophisticated investors. 

Kelleher pointed out that other judges have rejected Judge Torres’ decision, indicating that it was incorrect. Notably, Kelleher’s criticism centers on the judge’s Torres summary judgment, which found that Ripple violated federal securities laws via its institutional sales of XRP. Conversely, the judge ruled that Ripple’s programmatic sales and other distributions of XRP do not constitute investment contracts. 

Critics like Kelleher believe Judge Torres indirectly protected sophisticated investors or institutional clients while leaving retail investors unprotected through her decision. 

XRP Enthusiasts React 

Meanwhile, Kelleher’s recent claim triggered reactions within the XRP community. 

Reacting, CryptoLaw corrected three misconceptions in Kelleher’s comment. First, the media outlet clarified that the court ruling declared that XRP in itself is not a security. However, the ruling held that the way the token is packaged or sold might be an investment contract. Per CryptoLaw, any contrary argument to this decision is ” upside-down” reasoning. 

Second, CryptoLaw mentioned that the SEC acknowledged in court that it would not appeal the decision regarding its failed argument that XRP is a security. Lastly, it pointed out that the Ripple judge is not a “he,” as Kelleher noted in his previous tweet. 

Furthermore, Attorney Bill Morgan challenged Kelleher’s assertion that other judges have rejected Judge Torres’ decision. 

According to him, the ruling judge of the Binance lawsuit, Judge Amy Berman Jackson, already agreed with Judge Torres’ distinction between programmatic retail buyers and institutional investors, unlike Judge Jed Rakoff, who did not follow the reasoning in the TerraForm Labs’ lawsuit. 

He added that two judges already support the distinction between retail and institutional buyers. Hence, he speculated that the SEC has a 9% chance of winning on appeal, rather than Kelleher’s 90% projection. 

So all the other judges have rejected it you say. You must not follow the cases.

You must not know then that Judge Jackson in the Binance case also preferred the approach of Judge Torres in differentiating between institutional investors and programmatic retail buyers than the… https://t.co/wWoE4jnAAE pic.twitter.com/VpSJ1qx093

— bill morgan (@Belisarius2020) August 15, 2024

CryptoTank, a researcher in the crypto community, has urged the investing public to procure XRP tokens before it is too late to do so cheaply.

In a post on X today, CryptoTank expressed his hope that everyone will take the time to research and acquire XRP before the low-cost opportunity disappears. 

He emphasized the potential for XRP to significantly impact the financial futures of those who invest wisely, urging followers to share their research with loved ones. 

Furthermore, CryptoTank advised XRP investors to tune out detractors, warning that they could sow doubt about the asset’s prospects. He framed XRP as a “once in a lifetime opportunity” to change the course of families’ lives for generations.

“It’s a once-in-a-lifetime opportunity to change the course of your families’ lives for generations if you invest wisely.”

Today, XRP costs $0.569 after its value declined by 7% over the past week. Optimists like CryptoTank, calling for research and investment in XRP, anticipate that the asset will be much more valuable in the coming months and years.

The “Research” on XRP Potential

The optimism is founded on XRP’s potential to revolutionize global money movement by providing a faster, more efficient, and less expensive way to transfer funds across continents. 

Supporters often highlight the vast scale of the cross-border payment market, which is projected to reach $300 trillion in the coming years. They theorize that if XRP were to handle just 1% of this market, its value could skyrocket.

For instance, if XRP were to process $5 trillion of the projected market, its price would be above $50 to ensure sufficient liquidity for such transactions. This translates to a return of over 8,670% for today’s investors.

Hopes on this hypothetical occurrence and the hope of global central banks adopting XRP as a reserve asset continue to fuel optimism about XRP’s future value. 

However, over the past six years, XRP’s value has steadily declined rather than increased. In particular, it is currently trading at a staggering 85% below its 2018 ATH. Proponents believe the lower price counts as an opportunity to buy XRP cheaply, as they are convinced XRP will rise.

In response to CryptoTank’s call for XRP believers to educate others, many acknowledged having tried to inform family members but admitted that their efforts have largely fallen on deaf ears.

“I have, brother. But I have been ridiculed and dismissed mostly,” recounted X user Tyler. “That’s what I have been doing for the past few years. No one believes me. They don’t see it,” lamented Cristian.

This dismissive reaction is likely due to XRP’s stagnant price over the past six years, which has frustrated many holders. “I’m getting out of XRP, sick of it doing absolutely nothing,” one commenter said.