Is Now a Good Time to Buy Ripple (XRP)? • Benzinga

Ripple is the company behind XRP, a blockchain solution for corporate transfers, both domestically and internationally. The current system for international transfers uses the SWIFT system, but it’s roughly 50 years old and has significant disadvantages. 

SWIFT is a slow and outdated system. If XRP is able to become the new standard then it is well deserving of its position as a top 10 cryptocurrency by market capitalization.

XRP doesn’t have much utility yet mostly because of the lawsuit filed against Ripple by the U.S. Securities and Exchange Commission (SEC) in December 2020. The lawsuit has halted much of the development of the chain, as well as prohibited the coin from being traded on the majority of exchanges. The lawsuit made XRP and Ripple separate entities too.

The following article will discuss if now is a good time buy Ripple (XRP).

Is Now a Good Time to Buy XRP?

Market crashes tend to be good buying opportunities, but crypto market crashes also wash out the altcoins that are not providing value. Speculative investments such as XRP get hit even harder than cryptocurrencies like Bitcoin or Ethereum. However, altcoins can often bring greater returns when they see success.

This is not to say Bitcoin and Ethereum are not speculative as well, but the two coins have provided far more value. Bitcoin has provided a decentralized form of peer-to-peer money, uncontrollable by any one person or organization. Ethereum has proven a successful decentralized network for many decentralized finance (DeFi) applications to thrive, helping users swap currencies, govern organizations, raise funds and earn yield.

How Long Will the Crypto Bear Market Last?

The bear market is here, and for many investors the falling prices cause serious anxiety. Leading the charge for the nervous crypto investors is Jim Cramer, who has called for a further drop in market valuation. 

In a recent airing of CNBC’s Squawk Box, Cramer states, “Crypto really does seem to be imploding. Went from $3 trillion to $1 trillion. Why should it stop at $1 trillion? There’s no real value there.”

Despite Cramer’s take, the last thing crypto investors should do is panic. Letting your emotions  get out of control by watching talking heads on CNBC can be dangerous. A better solution could be to begin dollar cost averaging – by setting an exact day each week and amount to invest, you can automatically get exposure and reduce risk of buying the top or making an emotional mistake. This hands-off approach is praised by many who have been in the crypto market for a number of years. Some investors increase their dollar cost averaging amount or frequency when a bear market is under way.

It is uncertain how long this bear market will last or if there is further drop ahead. Try not to panic sell, overextend yourself in buying or 100% believe everything you hear from analysts like Cramer.

Will XRP Ever Reach All-Time Highs? 

XRP briefly reached over $3 per coin; today, it trades for just $0.32, roughly 10% of its previous market cap. For XRP to go back to its all-time high and surpass it, the Ripple network will need to overcome the SEC hearing and begin to displace SWIFT as the international banking transfer mediator.

Is Ripple (XRP) a Good Long-Term Investment?

XRP is a tough one to make a long-term bet on. It has so much that it must overcome. Especially with a market capitalization of over $15 billion, there is still a fair amount of speculation baked in. If you are highly convinced of its potential use case, then XRP could be a high-risk, high-reward trade you are willing to take a chance on.

How to Buy Ripple (XRP)

A couple centralized platforms support XRP, but it has become increasingly difficult to purchase the asset since the SEC’s actions. One exchange that still offers XRP trading is eToroX. You may also want to look into decentralized exchanges that trade XRP.

How to Store XRP Safely

Following the failure of Celsius and a number of other crypto trading platforms, consumers have become increasingly worried about who is holding their digital assets. The only way to be sure your crypto is safe is to hold your own keys, by using a non-custodial wallet. 

Once your crypto has been secured via a software, non-custodial wallet, it is recommended you move it to cold storage by sending it to a hardware wallet such as the Ledger Nano S. With a hardware wallet, it is far more difficult to be compromised and lose your assets.

How Does XRP Fit in the Bigger Picture? 

XRP has different properties than Ethereum and Bitcoin do. While these cryptocurrencies are useful for the average person, XRP is not. Not many people need to make transfers on the XRP network; rather, it is designed for the biggest corporations in the world. While XRP looks to use blockchain technology, openness is much less important to the project than most other projects.

So, Is Now a Good Time to Buy Ripple (XRP)?

If XRP is able to replace the SWIFT system, then its price today is incredibly cheap. For that to transpire, a long list of issues must be resolved. Crypto is risky, and XRP is one of the most speculative bets out there.