Economist Describes Hidden XRP Price Threats
Well-known economist and financial strategist Charles Lee shared his vision of the price and performance of the XRP market on his Twitter page. He believes that the price range of the token will impede its liquidity and simplify xRapid transactions.
Speaking about the future performance of the XRP price on the example of what he called “Formation of the step-by-step staircase of the XRP price”, the expert explained why for a certain time the price of the token was in a narrow range.
At the same time, the price movements of other digital assets did not significantly affect the price of XRP.
If the volume of XRP transactions in MoneyGram and with other xRapid partners — banks, financial institutions, reaches a high level, the price will also rise. Lee believes that a slight increase in the price of XRP will occur at the beginning of the interval between steps. As the volume of transactions in the network increases at each step, the price increase will be higher, and the time between each step is shorter.
Thus, the XRP price will approach the next price range at which the emission will be sufficient for xRapid transaction volume. In this scenario, the stage will come when the current XRP price range will become an obstacle to its liquidity when simplifying xRapid transactions, since the emission will not be large enough.
There are two main obstacles to solving this problem. Despite the fact that Ripple has signed a partnership agreement with MoneyGram, it is not yet clear how widely XRP will be used by MoneyGram. Another problem is that at the moment there are no large retail companies, such as MoneyGram, working with xRapid, because they could support prices in a certain range. According to Lee, there is no doubt that the price of XRP will stabilize in the future, although the main question is when.
