Ripple Price Forecast and Analysis – September 7, 2017

XRP Benjamin

While the long-term Ripple price prediction is governed by endogenous factors, XRP can get tossed around by industry trends in the short term.

For instance, much of the Ripple news that surfaced last month will likely take a back seat to reports of a cryptocurrency crackdown in China.

Chinese authorities recently banned initial coin offerings (ICOs), forcing the country’s leading cryptocurrency exchanges to delist many of the tokens sold through the ICO funding model.

This curbing of ICOs is expected to dampen demand for existing cryptocurrencies, particularly those that served as a platform for ICOs.


But more than that, the ban on ICOs could drain momentum across the entire industry, sapping cryptocurrencies of the energy needed to achieve “escape velocity.”

After all, the explosion of ICO funding in 2017 is almost single-handedly responsible for lifting the overall crypto market cap to its current level of around $161.9 billion.

Just one year ago, the collective worth of cryptocurrencies only amounted to $12.1 billion, meaning that ICOs sparked a 1,238% rally across the board.

It’s hard to imagine a repeat performance this year. The loss of the world’s largest market is bound to have some effect on ICO funding volumes, which in turn will have an effect on cryptocurrency prices.

Analyst Take: 

This headwind might cause some problems for Ripple prices in the short term, but it could actually end up serving the interests of long-term bulls.

Why? Because XRP is in the top five most valuable cryptocurrencies, meaning that it commands a certain level of trust. And in times of uncertainty, investors gravitate towards trust.

For example, investors retreat to Treasury bills during a stock market crash because it is perceived as a safe haven. This general rule applies to other markets as well.

When investors are feeling cautious, money tends to seek out authority.

As such, we maintain our long-run Ripple price prediction of $2.00 by the end of 2018.

Also ReadCryptocurrency Price Predictions 2018: Ripple Is the Clear Winner