Elon Musk’s X Corps has developed an AI chatbot named Grok, which has made an interesting prediction regarding the price of XRP. According to Grok, if the total trading volume of XRP reaches $50 trillion, the price of the cryptocurrency could potentially skyrocket to $1,000.
Despite the ongoing bull market, XRP has struggled to break past key psychological levels. While Bitcoin has been reaching new all-time highs and some altcoins have been hitting three-year peaks, XRP has remained stuck below the $0.75 mark.
This is not the first time XRP has faced such challenges. During the previous bull run in 2021, XRP failed to surpass the $2 price point, missing out on significant gains that other cryptocurrencies were able to achieve.
Many in the community attribute XRP’s underperformance to the SEC lawsuit it is currently facing. Others believe that Ripple’s consistent selling of XRP has contributed to keeping the price down, although Ripple’s CTO David Schwartz has refuted these claims. Speculation about XRP’s true value has been growing as a result.
Some market participants are basing their speculations on the potential for higher trading volume as XRP gains more adoption. For example, there are projections that XRP could potentially reach $1,000 if it were to see a trading volume similar to that of JPMorgan’s $10 trillion.
Recently, a Texas-based XRP community member named Pollux asked Grok what the price of XRP could be if it reached a $50 trillion trading volume. Grok responded by suggesting that XRP could reach $1,000 under those circumstances, considering the circulating supply of 50 billion XRP tokens.
While some have drawn attention to Grok’s assessment, it’s important to note that correlation between trading volume and price is oversimplified. Market cap and circulating supply tend to have a more direct impact on prices.
Another XRP fair value calculator developed by Susan Athney and Robert Mitchnick has presented a more ambitious price target for XRP at a $50 trillion trading volume. According to this calculator, with certain metrics in place, XRP could potentially reach $3,377.
It’s crucial to understand that the Athney and Mitchnick calculator is based on a daily trading volume of $50 trillion, while Grok’s evaluation considers a total trade volume of $50 trillion. The likelihood of XRP reaching these projections is considered to be very low. Currently, XRP is trading at $0.4915 with a daily volume of $1.54 billion.
As always, it’s important to conduct thorough research before making any investment decisions. This information is for informational purposes only and should not be considered financial advice. The opinions expressed in this article are those of the author and do not necessarily reflect the views of The Crypto Basic.