Edoardo Farina, the founder of Alpha Lions Academy, predicts that only a small fraction of investors will be able to afford XRP in the future due to multiple factors.
Economic Conditions Squeezing Out Retail Investors
Farina attributes this anticipated shift to worsening economic conditions. He notes that inflation continues to erode purchasing power, and the rising cost of living is outpacing wage growth. According to him, financial instability has escalated since 2019, forcing many to liquidate assets, including XRP.
Institutional Investors Expanding Their Holdings
Farina highlights that financial institutions are increasing their exposure to XRP, recognizing the asset’s long-term potential. He also observes a reduction in market liquidity, indicating a decrease in retail participation.
Role in the Adoption of CBDCs
Farina emphasizes the importance of CBDCs and their potential connection to XRP, with successful tests in countries like Montenegro affirming XRP's role in such infrastructure.
Farina believes that the future of XRP is tied to its integration into central bank digital currencies and consolidation among wealthier investors and institutions.
