thecryptobasic.com
Vandell Aljarrah, a financial commentator and co-founder of Black Swan Capitalist, implies XRP could still transform $5,000 to $2.9 million.
Aljarrah, who runs the Black Swan Capitalist finance platform with his brother Versan Aljarrah, suggested this in a recent post on X while discussing XRP’s historical price performance and its potential for more substantial gains during this bull market.
XRP’s Historical Performance
The market commentator called attention to the fact that investors who procured XRP in 2016 and held onto their tokens until the peak in 2018 would have seen their modest investments surge to millions. Notably, market data confirms that XRP traded at a price of $0.0065 in January 2016.
If you had invested $5,000 in #XRP in January 2016 at a price of $0.0065 per XRP & sold at its all-time high of approximately $3.84 in January 2018,
Your $5,000 investment in January 2016 would have grown to approximately $2,953,846 by January 2018.
This is what 2 years in this…
— Vandell | Black Swan Capitalist (@vandell33) June 20, 2024
It continued to record a series of declines and upswings from that month till the bull run took shape. When the bulls introduced buying pressure from 2017, XRP then recorded an exponential price surge from the $0.0065 in January 2016 to the all-time high of $3.84 in January 2018, marking a 58,976% spike within just two years.
If a market participant had purchased $5,000 worth of XRP in January 2016, he would have procured 769,230 tokens. These 769,230 XRP tokens at the all-time high of $3.84 would have been worth $2.95 million. This investment move translates to a profit of over $2.9 million in two years.
While XRP’s 2017/2018 price upsurge remains a pivotal part of its history, some investors fear it might not be able to repeat the uptrend. This is due to the current market valuation and the scarcity of extra capital inflow to the market. Notably, XRP would need a large amount of capital injection to record a similar price rally.
XRP Future Prospects
Despite this reality, Aljarrah remains highly confident in XRP’s future prospects. He suggested that, while investors see the previous surge as monumental, XRP is poised to engineer a more substantial price growth next year, noting the potential effect of increased utility for XRP.
Interestingly, the XRP Ledger’s DeFi ecosystem is witnessing immense development, which could introduce more utility for XRP, its native token. The network welcomed AMM functionality in March. Since then, it has seen multiple AMM pools go live, with TVL recently surging past 15 million XRP.
Moreover, Ripple is now looking to introduce a lending protocol native to the XRPL. The firm is also on the verge of launching an EVM sidechain for the network. In addition, the XRPL could also welcome a native stablecoin before the end of the year. All these developments could bolster XRP’s utility.
Aljarrah believes this growing utility increases XRP’s chances of recording another monumental surge. If the 2017 to 2018 uptrend repeats, XRP would only transform $5,000 in XRP today to $2.95 million if its price increases 58,915% to $289. Notably, analyst Javon Marks has repeatedly predicted an XRP rise to $288.