Crypto.com XRP Contracts To Launch in 24 Hours, Will It Send Price to $3?

Crypto.com exchange plans to launch the XRP Crypto Event Contract for trading on February 14.

Apart from this move’s benefits for the cryptocurrency exchange, it can bring some new use cases to XRP.

In the long run, this may trigger an upside for the asset’s price amid a growing push for a new All-time-high (ATH).

In a bull case scenario, analysts are looking at a $3 price level for the coin. This is hinged on the high affinity for XRP in the Crypto.com target market.

The digital asset provider plans to list the XRP Event Contract under the United States Commodity Futures Trading Commission (CFTC) approval.

Crypto.com has offered the same service for Bitcoin (BTC) over the past eleven years.

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It also has similar products like the Touch Bracket Contracts on Bitcoin and Ethereum.

These contract products also target Litecoin, Dogecoin, Shiba Inu, and Polkadot among others.

It is worth noting that the XRP Crypto Event Contract is quite similar to the BTC and ETH Crypto Event Contracts.

According to the filing, the incoming offering will have the same structure as other listed events contracts for Forex on the crypto exchange.

The plan is to generate nine strike levels for the XRP Event Contract. Furthermore, the offering will have a settlement payout range from $10 to $100.

In the meantime, Crypto.com has at least one market maker willing to provide liquidity for the XRP Crypto Event Contract.

XRP ETF, XRP Trusts, and Institutional Leaning

With the improvement in crypto regulations in the United States, investors have started nursing excitement about a potential XRP ETF.

Nasdaq has applied with the SEC to obtain registration to exchange XRP and Litecoin using ETFs. 

The filing, and many others like it, reflect the increasing interest in crypto solutions amongst institutional investors.

Similarly, Grayscale officially filed with the New York Stock Exchange (NYSE) to launch a spot XRP ETF.

The firm has submitted a 19b-4 filing to the US SEC to convert its Grayscale XRP Trust into a regulated ETF.

While the XRP ETF has only a 60% odd of approval, it shows a massive shift from its outlook about a year ago.

XRP Price Overview

Based on history, introducing an Event Contract gives traders the leverage to speculate on the potential price movement of the underlying asset, under a regulated framework.

With increased liquidity and trading volume, XRP community members will likely see a massive price rally.

Currently, XRP price was trading at $2.46, corresponding with a 0.46% increase in the last 24 hours.

Some market observers and analysts are optimistic about the future potential of the XRP token.

There are speculations that its price level may grow to the point where it hits $3 in the short term or $8 in a bull case scenario.

Crypto analyst Ali Martinez recently identified $2.27 as a critical support level for the XRP price.

In his opinion, the possibility of XRP maintaining its bullish momentum hinges on XRP staying above the $2.27 level.

Judging by its current price action, XRP price has yet to reach the level, signaling how ambitious the price target is.

Still, the optimism surrounding XRP and a price rally remains intact.