XRP Primed for 289% Price Increase Due to Institutional Investor Volume and Ripple’s xRapid: Crypto Research Group

XRP is significantly undervalued, according to a new report from the independent crypto research group Picolo.

The firm says Ripple’s recent Q3 XRP Markets Report points to “further upside” in the price of XRP, due to a surge in institutional investor volume. Ripple reported a 481% increase in quarter-over-quarter institutional direct sales of XRP, rising from $16.87 million to $98.06 million.

Picolo’s research also points to the commercial release of Ripple’s xRapid, which utilizes XRP for cross-border payments, as a potential catalyst for a rise in the price of XRP.

“It is important to note that XRP’s value is derived when clients use XRP as a bridge currency on Ripple’s xRapid platform, and not directly from its other products. We derive its fundamental value from two aspects:

1. Value of cost savings utilising XRP on xRapid, not including savings derived from xCurrent

2. Value of locked-up liquidity in NOSTRO accounts that could potentially flow into XRP (estimated 1% of total locked-up liquidity)

Our analysts derived an intrinsic valuation of $1.75 per XRP token. The estimates used are conservative as it does not include tokens burnt, the growth of Ripple’s market share, value attributed for error reduction and market share of other non-bank financial institutions.”

The firm also identifies several risk factors for XRP investors, including:

• Potential confusion about the difference between Ripple and XRP

• Concerns about whether XRP is centralized, due to the fact that Ripple owns 60% of the total supply

• Lack of clarity on whether XRP will be classified as a security, with several lawsuits pending on the matter

You can check out the full report from Picolo here.

The Crypto Beat

Ripple Expands XRP-Powered xRapid, Boosts Payment Platform Backed By MIT and Mastercard

Ripple Announces Expansion in the Middle East, Reveals Nearly 200 Financial Institutions Have Joined RippleNet

Ripple Reveals XRP Discussions With the Trump Administration, Says White House Is Focused on Crypto

You Can Now Accept XRP on YouTube and Twitch

New Ad From Ripple Mocks Slow Speed of Banks As XRP Platform Launches Instant Crypto Payments Via Text

Join us on Telegram            Follow us on Twitter

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.