Crypto analyst CryptoTank has predicted that the XRP price can reach $1,000. Although he didn’t give a specific timeline for this price surge, he outlined several reasons why the crypto token could hit such an ambitious price target. Some other analysts, like Crypto Egrag, have also predicted that XRP can indeed rise to $1,000 at some point.
XRP Price Will Hit $1,000
CryptoTank predicted in an X post that XRP will reach $1,000 while stating that a surge to this price level isn’t a fantasy. Instead, he believes it is only a matter of time before the crypto token reaches such unprecedented heights.
The analyst recently highlighted the potential XRP ETFs as one of the factors that could send the XRP price to the target. The analyst noted that companies like Bitwise, Canary, and other asset managers that plan to offer this fund will have to hold at least $10 million worth of XRP to support their respective funds.
With these asset managers holding such an amount of XRP, the coin’s circulating supply will decrease. Based on this, CryptoTank asserts that the XRP price will eventually increase over time. He further remarked that this supply shock will come into play in a “much bigger” way as more institutional investors begin to adopt the crypto token.
Ripple CEO Brad Garlinghouse already stated that he expects more filings following the Bitwise XRP ETF application. Therefore, it might not be long before more institutions look to adopt XRP and provide other institutional investors with exposure to the crypto token.
In line with this, CryptoTank asserts that companies will have a large supply of XRP on their books. He claimed that this is why 100 billion XRP is not a large supply for the token’s intended use case. He added that other factors will determine the XRP price but he has zero doubts that the ETFs will reduce the coin’s circulating supply.
Ripple’s Payment Service Could Contribute To This Price Rally To $1,000
In an earlier X post, CryptoTank also suggested that Ripple could contribute to the XRP price rally to $1,000. The crypto firm uses the coin for its cross-border payment services. Therefore, the analyst highlighted the fact that XRP could witness a massive surge in its trading volume as more institutions begin to adopt Ripple’s payment rails for cross-border transactions.
The analyst noted that Ripple’s competitor, Swift, currently records $5 to $7 trillion in trading volume. As such, he envisages that XRP could at least steal 10% of this trading volume as more banks begin to settle their transactions using Ripple’s payment network.
At the time of writing, XRP price is trading at around $0.57, down over 5% in the last 24 hours. The trading volume is also down over 23%, with $2 billion traded during this period.
Boluwatife Adeyemi
Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across DeFi, NFTs, smart contracts, and blockchain interoperability, among others. Boluwatife has a knack for simplifying the most technical concepts and making it easy for crypto newbies to understand. Away from writing, He is an avid basketball lover and a part-time degen.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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