If the SEC lawsuit against Ripple had never occurred, XRP could have experienced significant growth during the 2021 bull run, setting the stage for an even stronger performance in the current cycle.
The Impact of the SEC Lawsuit on XRP
XRP investors missed out on the full potential of the 2021 bull run, with the asset only reaching $1.96. Many attribute XRP’s inability to surpass its previous all-time high to the SEC’s lawsuit against Ripple.
On December 20, 2020, the U.S. SEC sued Ripple and its executives, Christian Larsen and Brad Garlinghouse, for allegedly orchestrating a $1.3 billion unregistered securities offering via XRP. This lawsuit led U.S.-based exchanges to withdraw support for XRP, causing its price to temporarily decline.
Market Conditions and XRP’s Limited Growth
At the time, the crypto market was entering a new bull phase, fueled by Bitcoin’s third halving cycle. However, the lawsuit severely limited XRP’s market access, cutting its bull run short. While Bitcoin continued to climb until November 2021, XRP peaked at $1.965 on April 14, 2021.
Today, XRP trades around $0.47. Many enthusiasts believe that without the SEC lawsuit, XRP could have been in a much better position. This sentiment draws on XRP’s impressive 75,000% surge during the 2017/2018 bull run, when it briefly became the second most valuable cryptocurrency after Bitcoin, surpassing Ethereum.
ChatGPT’s Hypothetical XRP Price Predictions
To explore what XRP’s price might have been without the SEC lawsuit, we leveraged OpenAI’s ChatGPT. While the AI tool acknowledged the speculative nature of such predictions, it considered key factors like market sentiment, Ripple’s partnerships, and historical performance.
Moderate Growth Scenario
In a moderate growth scenario, assuming continued positive developments and growing adoption without the lawsuit, ChatGPT suggested a 50-100% price increase from XRP’s pre-lawsuit price of approximately $0.60 in December 2020. This would put XRP’s price between $0.90 to $1.20 today.
High Growth Scenario
In a high-growth scenario, ChatGPT projected a 150-200% price increase. This would place XRP’s price in the range of $1.50 to $1.80.
Aggressive Growth Scenario
In an aggressive growth scenario, ChatGPT theorized a 300-500% price increase since December 2020, potentially valuing XRP between $2.40 and $3.60. While this would still be below its 2018 all-time high of $3.84, it would be a substantial improvement from its current price of $0.47.
Conclusion
Without the SEC lawsuit, XRP could have achieved significant growth during the 2021 bull run, potentially setting it up for even greater success in the future. While these predictions are speculative, they highlight the potential impact of regulatory actions on cryptocurrency prices.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article are speculative and do not reflect The Crypto Basic’s opinion. Readers are encouraged to conduct thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.