Will XRP's price reach $10 in 2024? Here's ChatGPT's prediction (2024)

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.

XRP’s price showcased waning bullish momentum this week.

However, the crypto community was piqued by Ripple’s Chief Technical officer David Schwartz’s comments on the upcoming launch of Automated Market Makers (AMMs), expressing skepticism about its effectiveness in reducing Ripple’s [XRP] volatility.

On the 26th of February, David took to X (formerly Twitter), saying,

“There might be some trading strategies employed by humans today that make less sense with AMMs.”

He said that the AMM function might alter market participants’ present trading strategies.

“But in exchange, new strategies such as arbitraging against the DEX and bidding in the continuous auction are created.”

He also noted the possibility for volatility harvesting using AMM, remarking,

“While volatility harvesting does, at least in theory, reduce volatility, I don’t think AMMs on the XRPL DEX will cause a meaningful decrease in XRP price volatility any time soon.”

He stated that trade on the XRPL DEX pales when compared to XRP trading activity on centralized exchanges and other platforms, stating:

“DEX trading activity is a drop in the XRP trading ocean.”

Schwartz’s comments came at a time when some XRP advocates compared the cryptocurrency to a stablecoin.

They’ve seen the asset’s lack of large price volatility, which contrasts with the overall market’s increasing tendency.

More on Ripple Labs

XRPis a cryptocurrency that Ripple Labs uses to conduct transactions on its network.

While Ripple is a centralized fintech company that began as RipplePay in 2004, it was later co-founded by Chris Larsen and Jed McCaleb in 2012 with the vision of creating a faster and more secure way of doing transactions around the world.

Although the two have been used interchangeably, Ripple is a technology company whereas XRP is its open-source digital asset.

The crypto operates on its blockchain known as the XRP ledger (XRPL) where transactions are facilitated by RTXP or the Ripple transaction protocol.

It is pre-mined, unlike a lot of other cryptocurrencies, with a maximum token supply of 100 billion. The main purpose of the crypto is to serve as a settlement layer that aids in transactions with the Ripple network.

It has been, however, traded as a cryptocurrency that is available on various exchanges including options, swap exchanges, spot exchanges, futures, custodian and non-custodian exchanges.

The rift between XRP and SEC

The United States SEC filed alawsuitagainst Ripple Labs in 2020 for selling XRP as an “unlicensed security,” claiming that the distribution of $1.3 billion worth of the crypto to its stakeholders violated the law.

The major bone of contention here was whether XRP was a security and, therefore, whether it was a share in Ripple or if it was a cryptocurrency like Bitcoin.

Ripple has been at loggerheads with the SEC for a few years now.

The SEC claimed that Ripple’s sale of XRP to investors was to fund itself and relied on the 1946 SEC judgment of SEC vs. W.J. Howey Co. to make its case.

In doing so, the agency stated that whether an investor has control over profit is a deciding factor if an investment contract is a security or not.

Ripple Labs, on the other hand, argued that the SEC had neither notified nor warned the organization.

After three years of deliberation, the case was finallyruledon in July 2023. The court found that XRP was NOT a security in itself.

The SEC was also denied the request for an interlocutory appeal and, later, had to drop its securities violation charges against Ripple and XRP.

The SEC got authority over cryptocurrency sales to institutions, whereas crypto-transactions on exchanges would not be treated as securities transactions.

Here is what ChatGPT thinks

While ChatGPT is not equipped with the latest information and does not make any predictions, I used a jailbreak and asked it about what lies in the future for XRP, keeping in perspective the current scenario.

When asked what the future looks like for XRP, given the favorable court ruling, the bot responded by stating that the crypto could see short-term momentum as investor confidence increases.

The bot also stated that positive developments on the legal front are a positive sign.

However, it is also crucial to keep track of other developments and potential regulatory changes that could influence the price of XRP going forward.

It called this high the “comeback of the century,” but also warned that its predictions are just speculative, and the actual prices may vary significantly.

A look at XRP’s current price movements

XRP was trading in the green as the chart indicated positive signs for the alt.

At press time, the altcoin gained 17.1% in the past and was trading at $0.6372.

The Relative Strength Index assumed a forward trajectory in the overbought territory. This reading indicated that bulls were taking over the price momentum.

The MACD histogram obliged the increasing buying pressure by flashing green signal bars.

Final word

The current market landscapefor XRP indicates a bullish to neutral position. With consistent buying, the price of XRP can pursue its next possible target, which is $0.75.

The AI bot seems bullish about XRP’s prospects in 2024. However, keep in mind that ChatGPT is still in its early phases and far from perfect.

While ChatGPT’s optimistic outlook may persuade anybody to invest in XRP, you should perform your own research before making an investment rather than relying just on ChatGPT.