Cryptocurrency index fund manager Bitwise has estimated that the price of the Ripple-linked XRP token might skyrocket to $29.32 by the end of this decade.
For this to happen, the cryptocurrency would need to capture a “meaningful” share of the payments and tokenization sectors.
Bitwise’s price projection is based on the capital asset pricing model (CAPM). The firm has estimated that securing even a relatively small slice of the real-world asset tokenization market might substantially impact the cryptocurrency’s market cap.
In Bitwise’s “max scenario,” XRP’s market cap would grow to $2.9 trillion by the end of the decade, which is more than the current market cap of tech giant Microsoft ($2.89 trillion).
According to Bitwise’s “bull scenario,” the price of the token would reach $12.7 by 2030. For this projection to materialize, XRP would need to maintain steady network growth and face minimal headwinds. However, in this scenario, the token would fail to gain significant traction in payments and tokenization.
If XRP fails to secure a slice of any target market with waning institutional adoption and XRPL usage, the price of the token could ultimately collapse to just $0.13 by 2030. This is Bitwise’s “bear scenario.”
As reported by U.Today, Ripple abandoned its cross-appeal against the SEC, meaning that the long-lasting legal battle is (almost certainly) over.
However, XRP failed to rally on the news. The token also experienced very modest gains after Ripple announced that the SEC had dropped its appeal.
That said, the approval of an XRP ETF in the U.S., which appears to be inevitable at this point, could revive the token’s momentum. Bitwise filed for an XRP ETF back in October.
As reported by U.Today, analyst Nate Geraci recently predicted that both BlackRock and Fidelity would join the ETF race as well.
