An analysis of the situation surrounding the cryptocurrency XRP shows its potential for growth. We will look at how XRP Ledger competes with the traditional SWIFT system.
Growth Prospects for XRP
According to market analyst Adex Crypt, XRP may continue its parabolic growth after bouncing back from the neckline of a 7-year 'Double Bottom / Ascending Triangle' pattern. The target price is set at $38, which could see XRP rise to $5.74 from its current price of $2.87.
Comparison of XRP Ledger and SWIFT
The SWIFT system is facing growing pressure from faster and cheaper alternatives like XRP Ledger. SWIFT is losing 15% of transaction volume while XRP Ledger activity is ramping up. Typically, SWIFT takes 1 to 5 business days to fully settle transactions, while XRP settles them in just 3-5 seconds. Additionally, SWIFT's transaction fees often range from $10 to $50, whereas XRP charges as low as $0.0002 per payment.
Future of International Payments
Ripple aims to capture a share of SWIFT’s liquidity volume by focusing on liquidity solutions. Ripple's CEO projects that XRP could handle up to 14% of SWIFT’s liquidity within five years. With the launch of its EVM-compatible sidechain and expansion of XRP corridors, especially in Latin America and Asia, XRP is increasingly becoming a formidable alternative to traditional payment systems.
The XRP Ledger technology, winning in terms of speed and cost, may emerge as a significant player in the international payment market, potentially capturing a share of volumes from SWIFT in the coming years.
