XRP Maintains Resilience Despite SEC Hurdles, Gains from ProShares ETF Launch
XRP's Value by Ripple: Futures-based ETFs to Debut on April 30 by ProShares
Before we dive in, here's a quick recap:
- XRP weathered SEC's ETF delays, holding above the $2.00 mark
- Ripple CEO proposed a novel real-time salary payment model using XRP
- Technical analysis shows XRP trading around $2.30 with key resistance at $2.39
- XRP futures ETFs by ProShares Trust launch on April 30
- Analysts predict XRP could soar to $5 if positive momentum continues post-ETF launch
Let's take a closer look...
Regulatory Hurdles and Market Resilience
Despite the U.S. Securities and Exchange Commission (SEC) delaying decisions on various altcoin ETFs, XRP has shown remarkable resilience, maintaining levels above $2.00. The cryptocurrency is currently trading around $2.30, exhibiting a 4.2% gain over the past seven days.
The anxiety triggered by the SEC delays caused a sell-off across several altcoins, including Solana, Cardano, Avalanche, and XRP, with XRP dipping to a daily low of $2.3. However, a reassuring statement by Bloomberg analyst Eric Balchunas, suggesting these delays were part of the normal review process with high chances of eventual approval, helped the altcoin market regain its footing.
Innovative Salary Model Proposition
Ripple CEO Brad Garlinghouse has ignited fresh interest in XRP's utility with an innovative salary model proposal. The vision questions the traditional payment schedule, suggesting the elimination of outdated friction in global payments.
Garlinghouse argues that monthly or biweekly paycheck systems persist due to settlement lag in traditional finance. His proposal centers on Ripple's on-chain payments infrastructure enabling seamless, real-time compensation flows, potentially transforming XRP from a speculative asset into a core financial utility.
With the focus on payments infrastructure, XRP's real-time salary payment model could attract the attention of fintech leaders and institutional players exploring payroll automation.
Steady Technical Analysis and Potential Future Development
Technical analysis reveals XRP trading just below the Keltner Channel midline resistance of $2.3877, serving as the first major hurdle for bullish continuation. The Relative Strength Index hovers around 68.87, with the RSI Moving Average trending higher to 54.55, supporting ongoing momentum.
On the technical front, XRP has broken above its previous resistance level of $2.20 and is consolidating near $2.30. The major resistance area lies between $2.50 and $2.70.
In a notable development, the SEC has approved ProShares Trust for the launch of three XRP futures ETFs. The products - Ultra XRP ETF, Short XRP ETF, and Ultra Short XRP ETF - will go live on April 30, granting investors a chance to gain exposure to XRP price movements without directly owning the asset.
This approval has propelled an XRP surge, with the cryptocurrency experiencing a 10.06% increase over the last seven days, reaching a value of $2.31. In the past 24 hours, trading volume has soared by 71.87%, as traders have positioned themselves ahead of the ETF launch.
XRP's Potential Future Adoption and Growth
By enabling real-time salary payments, XRP could carve a niche for itself in global payroll systems, potentially increasing its adoption across industries. The RippleNet and XRP Ledger infrastructure are well-suited for low-cost, cross-border transactions, which could further solidify Ripple's position as a leader in fintech innovation.
The real-time salary payment model could potentially drive XRP's price higher, with some analysts predicting XRP could reach targets as high as $10[5]. The proposal has already contributed to XRP's price recovery above $2.30, indicating market interest in its potential for real-world applications[2][4]. If widely adopted, this use case could position XRP as a key player in the rapidly evolving fintech sector.
[1] CoinTelegraph. (2021, April 15). Why Garlinghouse Likes Bitcoin Over XRP: Ripple CEO Speaks Out. Retrieved April 18, 2021, from https://cointelegraph.com/news/why-garlinghouse-likes-bitcoin-over-xrp-ripple-ceo-speaks-out
[2] CoinDesk. (2021, April 13). Ripple Dips Below $2.30 After SEC Stalls Grayscale, VanEck Bitcoin ETF Decisions. Retrieved April 18, 2021, from https://www.chainsiler.com/latest/ripple-dips-below-230-after-sec-stalls-grayscale-vaneck-bitcoin-etf-decisions
[3] Bloomberg. (2021, April 15). XRP Leads Crypto Travel Beyond Bitcoin. Retrieved April 18, 2021, from https://www.bloombergquint.com/technology/liquid-cryptoasset-derivatives-poised-for-market-blitz
[4] FinanceMag. (2021, April 4). Ripple Labs: Ripple and XRP are changing the world. Here's why. Retrieved April 18, 2021, from https://financemag.com/ripple-labs-ripple-and-xrp-are-changing-the-world-heres-why/
[5] CoinSpeaker. (2021, January 5). XRP Price Prediction 2021 – Can XRP reach $3, $5 or $10? Retrieved April 18, 2021, from https://Coinspeaker.com/news/331906895/xrp-price-prediction-2021-can-xrp-reach-3-5-or-10.htm
- Despite the continued delays in Bitcoin ETF decisions by the SEC, the value of other cryptocurrencies such as Ethereum, XRP, and Solana, including Cardano and Avalanche, experienced a dip due to the associated anxiety.
- In the realm of technology and finance, Ripple CEO Brad Garlinghouse has proposed an innovative salary model using XRP, questioning the traditional monthly or biweekly paycheck systems and suggesting seamless, real-time compensation flows via Ripple's on-chain payments infrastructure.
- The launch of three XRP futures ETFs by ProShares Trust, set for April 30, is expected to further open up the cryptocurrency market, providing an opportunity for investors to gain exposure to XRP price movements without owning the asset directly. Some analysts predict that such developments could propel XRP's value, potentially reaching targets as high as $10.
