Ripple (XRP) made news outpacing Bitcoin (BTC) in terms of price appreciation last year. Since then, the coin has continued to stay in the limelight and receives regular coverage from popular media outlets like CNBC and Forbes. Last year was about Rippleâs ambitious partnerships and deals which gave investors the confidence to push the price of Ripple (XRP) past $3. While that kind of growth is still not impossible in 2018, it does seem a little difficult given its recent tirade of problems with the SEC and a company knows as R3.
Ripple (XRP) until now appeared to be off the buying range and most professional traders preferred to wait before jumping in. However, right now the price looks exactly where most of them wanted it to be. Technically, Ripple (XRP) is a good buy at these prices but is it really a good buy all things considered? While Ripple (XRP) has recently run into trouble with SEC over its status as a potential security, the company believes that these are just tactics to discourage Ripple (XRP) investors and malign the project. Ripple (XRP) has recently been very open to regulatory initiatives and its CEO, Brad Garlinghouse has repeatedly tweeted for regulation of cryptocurrencies on his Twitter account.
While Ripple (XRP) might appear to be in trouble right now with the SEC, a clear statement from the SEC about Ripple (XRP) not being a security would give it the confirmation it needs to be accepted by major crypto exchanges including platforms like Coinbase and Gemini. It is possible that this is the reason why Coinbase has not listed Ripple (XRP) until now. On the other hand, the chances of a regulatory body terming Ripple (XRP) as a security would be devastating not just for Ripple (XRP) but for the entire cryptocurrency market and investor confidence will take a massive hit. This will also be a big blow to blockchain technology and all the efforts made to date.
Being aware of the repercussions of such a move, the SEC is not likely to take such a hardliner approach. Additionaly, crypto loyalists and lobbyists in government bodies will also take a stand against such a move and so will big financial institutions that are just getting started in the space. On the other hand, the SEC not being able to take such a move will be considered as a big sign of confidence for investors. As time goes by and money flows into cryptocurrencies, the support and influence behind that money will also line up.
Big financial institutions have indirectly controlled and strong armed governments for decades. This time, the movement is bigger than the financial institutions itself and they are afraid to see it run past them without them being a part of it. All this fear mongering and uncertainty is good for these institutions to keep the price down so they can get more time to accumulate. Once they are done accumulating, all those fancy financial products like Ripple (XRP) derivatives, options, furtures, ETFs etc will be a common sight with the banks selling it to the common man. However the difference is, if you buy now, you will be buying with the banks. If you buy 3 to 5 years from now, you will be buying from the banks.