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Sunday, September 25, 2022

Stellar vs Ripple: Stellar lumens XLM 2021 price prediction (also is Ripple XRP dead?)

Hey guys welcome back to I Dream of Money, the channel bringing you videos about business, economics and money. Today we’re going to talk about Stellar lumens, a cryptocurrency that is currently popping in early 2021. We’re also going to cover the sorry tale of ripple XRP which appears to be heading to the grave. You might have seen that in the last few weeks, Stellar has more than doubled its price, reaching above 20 US cents after sitting at under 10 US cents for years Meanwhile the price of ripple XRP has halved.

So what is causing this rise in the price of Stellar lumens and the concurrent fall in the price of ripple. In this video we’ll explain why the fall of ripple may actually be part of the reason why Stellar is performing so well. Also keep watching to the end of this video for our 2021 price prediction. Before I start, I need to make a disclaimer. Stellar lumens and ripple XRP are both cryptocurrencies that serve a similar purpose of facilitating transactions quickly and at low cost. In fact one of the co-founders of Ripple, Jed McCaleb, was involved with creating Stellar in 2014. So it’s therefore no surprise that the technologies behind Stellar and Ripple are actually very similar. The key difference however between Stellar and Ripple is their target markets. Ripple is focussed on banks whereas Stellar is more focussed on the average consumer, in particular in developing countries. Therefore Ripple has traditionally gotten more institutional support, even though in theory both coins can be used by banks and the general public alike.

However a few recent events have really spurred on Stellar’s stellar run and Ripple’s crippling downfall and may continue to do so. Firstly, Stellar has been announcing a number of major stablecoin projects in the last few months. In the last few days, Ukraine’s government has also announced that it has entered into an agreement with the Stellar Development Foundation to help build its national digital currency. As more projects use the stellar blockchain, it therefore follows that there will be more demand for stellar lumens. Meanwhile Ripple has only run into problem after problem. In December, the U.S. Securities and Exchange Commission or SEC charged Ripple’s CEO Bradley Garlinghouse and co-founder Christian Larsen with conducting an allegedly illegal securities offerring for XRP. This has caused a ripple effect with several major cryptocurrency exchanges suspending trading of XRP including Coinbase and Crypto.com.

In response, a number of crypto funds such as Bitwise and Grayscale Investments have announced that they are also liquidating all of their Ripple further depressing its price. In addition to this, one of the Ripple’s major investors, Tetragon, has filed a lawsuit seeking to redeem its preferred stock and petitioning to stop Ripple from using any cash or other liquid assets until the matter is settled. Because of the similarities between Stellar and Ripple, it is likely that investors who believe in the concept of using cryptocurrencies to undertake low cost and quick transactions are substituting Ripple for Stellar, to try to move their coins out of a sinking ship and therefore further boosting Stellar’s price.

My prediction is that Stellar is likely to quickly overtake Ripple, if not take all of its market share. In fact on coinmarketcap, you can see that the total market cap of Ripple is still more than double Stellar’s market cap at the time of filming this video. If Stellar takes all of Ripple’s market cap you should expect to see that Stellar will triple in value to at least over US50c in 2021 I hope you found this video useful. The cryptocurrency markets have had a fantastic run over the last few months and Stellar is just one example of a cryptocurrency that has been doing amazing.

Let me know in the comments below if you’d like to learn more about Stellar, other cryptocurrencies or any other finance matters. If you enjoyed this video, please help me get to 1,000 subscribers by hitting the like and subscribe buttons so you’re notified when new videos come out to help you become a better investor..

Read More: Ada Banyak Cryptocurrency, Selain Bitcoin dan Ethereum | Indonesia

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