Quick take:
- Crypto analyst Timothy Peterson, has forecasted that XRP could surprise everyone in 2021
- XRP could be on a path to have a good year similar to 2017
- Bitcoin could be outperformed by XRP in 2021
- XRP is once again above the $0.25 price area and could be in consolidation
Crypto analyst Timothy Peterson, has shared a recent analysis of XRP. In his analysis, he explores one situation where XRP could surprise everyone in 2021 by having its best year since 2017. Furthermore, XRP could outperform Bitcoin in 2021. Mr. Peterson shared his analysis via the following tweet with an accompanying chart providing information that XRP might have just bottomed out in the crypto markets.
I know it doesn't look like much but this is $XRP lowest price forward. I think people will be surprised at #Ripple's performance in 2021. It will probably have its best year since 2017 and maybe outperform #bitcoin. pic.twitter.com/sSwkPuS1Pl
— Timothy Peterson (@nsquaredcrypto) November 7, 2020
What the XRP/USDT Chart Says
In terms of current market performance, XRP seems to have broken out of the falling wedge identified back in May by crypto analyst MagicPoopCannon. In the analysis, Magic had projected that XRP could potentially start a journey to $0.77 if the falling wedge was broken. Below is a screenshot of his chart with updated XRP price data.
From the above chart, it is clear that XRP broke above the falling wedge in July of this year and attempted to break $0.33 on two occasions. Furthermore, XRP is now consolidating between $0.22 and $0.27. The $0.25 price area is currently providing adequate support for the digital asset.
XRP’s current consolidation, like in 2017, could continue throughout the remainder of 2020 thus providing a good entry for those willing to bet on XRP mooning in 2021.
Ripple Exiting the USA Might Be a Catalyst for XRP to Thrive
Back in mid-October, Ripple CEO, Brad Garlinghouse, had expressed the company’s intention to exit the USA market due to regulatory uncertainty. His statement regarding Ripple leaving the United States was after the Department of Justice released a ‘contradictory guide’ on how digital assets should be regulated.
In his response, Mr. Garlinghouse had this to say.
[the] DOJ report lists 8 separate US reg bodies each with a different view: crypto is property, crypto is a commodity, crypto is a virtual currency, crypto is a security, etc. Regulation shouldn’t be a guessing game.
To make matters worse, some US regulators have already made decisions that actively favor Chinese technologies OVER US companies. Legislation like the #DCEA can bring US companies to equal footing.
The lack of a single national regulatory framework is putting US innovation and US companies at a significant disadvantage. All we’re asking for is a level playing field – if we need to move to another country to get that, then that’s the path we will have to take.
If Ripple follows through with leaving the United States, the uncertainty surrounding whether XRP is a security in the United States might no longer be a big issue. Furthermore, investors will now see the potential of XRP in easing the pain points of cross border payments. As a result, XRP could thrive in the crypto markets.
However, Ripple might just wait it out a bit with the new administration that is about to enter the White House. Perhaps 2021 might be the year the various US Government bodies agree on digital asset regulation. In which case, XRP will also thrive.
