XRP has gained 355% in 52 weeks, outperforming Bitcoin and Ethereum since the 2024 U.S. election. The global payments market remains fragmented, suggesting XRP won’t dominate soon. At $2.50, XRP appears overvalued and may correct towards pre-election levels. Some price targets for XRP are based on unrealistic assumptions, leading to outlandish valuations.

XRP surged post-election due to a more crypto-friendly administration and resolution of the SEC lawsuit. Despite other cryptocurrencies rising, XRP outpaced Bitcoin and Ethereum. The lawsuit’s dismissal lacks a clear regulatory framework, impacting XRP’s inclusion in the Strategic Bitcoin Reserve. XRP’s potential relies on reasonable expectations for growth in the global payments market.

RippleNet may capture a significant market share in the border-crossing payments industry. While XRP could play a role, its low transaction fees differentiate it from profit-generating services. The fragmented nature of the payments market suggests XRP may not dominate. The lack of financial transparency for RippleNet could lead to lower XRP prices.

XRP’s future potential remains bright, but investors should set realistic expectations for its growth. While XRP may have a role in global money transfers, its actual profitability is unknown. Buying XRP at $2.50 per coin seems risky, and a correction may be imminent. Consider the risks before investing in XRP.

Anders Bylund owns positions in Bitcoin, Ethereum, and XRP. The Motley Fool holds positions in Bitcoin, Ethereum, PayPal, Wise Plc, and XRP. The Motley Fool suggests options related to PayPal. Should You Buy XRP (Ripple) While It’s Under $3? was published by The Motley Fool.

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