When Bitcoin was increasing significantly in November-December 2017 and January 2018, many of the other digital currencies were also performing well as well. Analysts have analyzed that any time Bitcoin’s value increases significantly, the other coins also follow the trend.
Similar to other cryptocurrencies, XRP has been struggling in the better part of 2018, since its best hit of $3.65 in January.
Thomas Lee’s Prediction
Tom Lee, the Managing Partner and Head of Research at Fundstrat Global Advisors, predicted that Bitcoin (BTC) was going to reach $25,000. If BTC had fullfilled the prophecy of Lee, it would also enable Ripple/XRP to skyrocket to $10 by the end of 2018 and hit $24 by 2022.
When BTC was in its best hit of almost $19,000, XRP had strived to go as high as $3.60. Unluckily, for both XRP and BTC investors, BTC did not reach the forecasted levels.
Bitcoin’s ETFs have been in the headlines in the recent past. Some people even suggest that they are the cause of the recent downward trend of crypto markets. However, even after the rejection of ETF by SEC, the prices of most cryptocurrencies had not swindled as much as people thought.
XRP Is Still Facing The Issues
Nevertheless, BTC’s triumph does not automatically guarantee XRP victory. This is because the cryptocurrency is still facing some challenges. For beginners, XRP is under scrutiny by the US Security and Exchange Commission (SEC). If SEC concludes that XRP falls under the category of securities, then the coin will face SEC’s tight regulations.
Many people have also raised issues with the company’s aspect of being more central as compared to other digital currencies. XRP critics have for a long time held that Ripple is partially decentralized since the firm controls customer accounts. This issue was raised when the Ripple management froze 55 billion XRP in Escrow to certify the inevitability of total XP supply.