By Michael Scott
Market analyst Steph acknowledges that the XRP parabolic run is imminent, citing the decline in total XRP supply amid rising demand for the token.
Citing recent data shared by the analytics firm CryptoQuant, Steph illustrated that the XRP maximum supply had sharply declined from 100 billion tokens.
Steph notes that the XRP price has staged a solid upward trajectory contrary to the available supply movement. Per the analyst account, this altcoin is witnessing heightened demand.
The analyst observes that rising demand will catapult XRP to new highs. He adds that an explosive price rally is imminent.
The crypto analyst notes that XRP has, over three weeks, portrayed a bearish trend. With the supply decline, rising demand will trigger a major bull rally.
Is XRP Tokens Shrinking?
While Steph’s chart demonstrates a strong declining pattern in the XRP supply, the actual figure paints a different story.
A look into the XRP supply shows only 13.275 tokens were either destroyed or permanently eliminated from the possible 100 billion. The total supply for this altcoin now is 99.986 billion tokens.
This volume contradicts the narrative of rapid shink in the XRP units. This casts doubt on the anticipated price surge that the analyst terms as imminent and solely reliant on supply constraints.
XRP Supply on Exchanges
Scrutiny of the XRP reserves within the centralized exchanges shows that the supply remained the same this year. The XRP had no steep declines, as was witnessed with other crypto assets.
Reflecting on XRP, supply within Binance shows a decline from 3.14 billion in November to 2.79 billion by December 16.
However, XRP numbers on Binance have quickly regained and are towards the 3 billion mark. The current figure aligns with the volume on the crypto exchange Binance for the most months in 2024.
Scrutiny into other digital assets, including Bitcoin, Ethereum, and meme coin Shiba Inu, shows a sharp decline in the units available on the crypto exchanges. Ethereum had 20.66M available on exchange 12 months ago, but only to witness a slight decline to 18.6M in September. While Ethereum is back to 19M, its overall trend reveals a steep decline.
The second-largest meme coin, Shina Inu (SHIB), had 167.34 trillion tokens available on exchanges in December 2023. The figure currently has declined to 134.4 trillion.
Like Ethereum and Shiba Inu, Bitcoin began 2024 with 3.07M tokens available on the exchanges, only for the nimble to decline to 2.42M.
Regardless of the XRP tokens available on exchanges, analysts entertain Steph projection of a likely upsurge in XRP prices. They believe that XRP supply is inconsequential to the broader price action.
Bullish Outlook for XRP
Crypto analyst Levi Rietveld offers a detailed outlook for XRP on where the popular altcoin is headed by next year.
Using historical data and current trends, Rietveld provides a bold outlook for the target XRP price, elaborating why the investors should prioritize adding more tokens to reap substantial profits in the future.
Rietveld examined the XRP’s historical market dominance, noting that the token has witnessed mammoth growth in recent months. Notably, September to November 2024 saw the XRP value surpass triple dominance from 1.25% to 3.91% of the entire crypto market.
Rietveld opines that XRP could realize 20% market dominance next year. Such a target will elevate the current price of $2.30 by 6X, translating to $20 per coin.
Rietveld illustrated that XRP has recently surpassed his predictions and market expectations. In particular, he refers to the XRP performance in November, when the price scaled by 5X to $2.92. The analyst premises this achievement feeling confident about imminent XRP’s trajectory in 2025.