XRP could finally overcome its underperformance woes if it can replicate the bull run engineered by Binance Coin (BNB) from 2020 to 2021.
The market has continued to give crypto assets the opportunity to outperform dominant positions during what investors call the bull run phase. Some assets are taking advantage of this phase to push up price levels that are unlikely to return in the future.
XRP underperformance in 2020
However, some companies have not been able to take advantage of market movements during such periods on specific occasions. For example, XRP took advantage of the 2017-2018 bull market to rise an astounding 60,000%, but failed to capitalize on the 2020/2021 bull market.
Some argue that XRP’s disappointing performance is a product of the SEC lawsuit against Ripple that began in December 2020, just before the market went into a bull market. The lawsuit negatively impacted XRP’s price action, leading to several US-based exchanges delisting the token and a large capitulation event.
However, these exchanges relisted the altcoin after XRP was declared a non-security during a summary judgment decision last July. Currently, some market analysts believe that XRP will not miss out on the ongoing bull market, despite the warnings of several market commentators.
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What if XRP replicates BNB’s 2020 run?
It is worth mentioning that several assets saw impressive gains during the 2020/2021 bull market. For example, BNB started 2020 at a price of $13.7 and skyrocketed to $27 in February of the same year. However, as the correction continued, Binance-related tokens crashed to a low of $12.5 in March 2020.
This bearish trend did not last long and BNB eventually recovered. The recovery move led to a massive rally for altcoins as 11 out of 13 monthly candlesticks turned bullish over the coming year. BNB soared from a low of $12.5 in March 2020 to a high of $638 in April 2021. This was a staggering 9,813% increase.
BNB1M Chart
With XRP freed from the legal pressure that prevented it from running in the 2020/2021 session, we recently announced that if we replicated the run designed by BNB from March 2020 to April 2021, XRPL We have evaluated what price the native token could reach.
Notably, XRP traded as low as $0.5386 in March 2024. However, several market watchers expect this continued bull market to extend into next year, with trends similar to previous bull markets. If XRP takes advantage of the second leg and replicates BNB’s 9,813% rise, the price could reach an all-time high of $53.
XRP1M Chart
At these prices, a $1,000 investment in XRP would yield a return of $96,839. While this presents a huge opportunity for investors, this scenario is only hypothetical and there are no guarantees. This is mainly due to the supply of XRP, which has a price of $53 per token and a market capitalization of $5.3 trillion.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the personal opinions of the author and do not reflect the opinions of The Crypto Basic. We encourage our readers to conduct thorough research before making any investment decisions. Crypto Basic is not responsible for any financial losses.
