Levi Rietveld, a financial analyst and crypto commentator, has projected that XRP could surge “overnight,” leveraging its potential role within SWIFT’s vast global payment network.
With SWIFT handling trillions of dollars in daily transactions, Rietveld suggests even a small percentage of this volume shifting to XRP could trigger a massive price surge. The financial analyst provided the mathematical breakdown of how the projected scenario could play out for XRP.
The Math for XRP Price Based on SWIFT Volume
Rietveld first cited a 2017 paper indicating that SWIFT manages around $5 trillion in daily transactions, equating to $1.25 quadrillion annually. However, he speculated that the current figure is likely around $7 trillion daily, translating to about $1.8 quadrillion annually based on 250 business days.
Furthermore, Rietveld highlighted the exorbitant fees associated with SWIFT transactions, some costing up to $1,000. In comparison, XRP stands out as a more efficient choice, offering faster, cheaper, and more reliable transactions.
Considering a hypothetical scenario where XRP captures just 5% of SWIFT’s market share, this would mean capturing $350 billion, a substantial increase from its current daily trading volume of $1 billion with a price of $0.52 per coin.
By capturing 5% of SWIFT’s global transactions, XRP could experience a 350-fold increase in its daily market volume, leading to a price projection of $50 per coin according to Rietveld. However, it’s important to note that this projection is based on assumptions and inherent flaws in the evaluation.
Rietveld also speculated that if XRP captures 10% of SWIFT’s volume, its price could surpass $100, and at 20%, it could potentially exceed $200, though these remain speculative estimates at this stage.
In essence, Rietveld emphasizes the significant price impact XRP could experience by capturing even a small portion of SWIFT’s volume, driven by its cost-efficiency and speed, eliminating the need for businesses to hold various currencies.
Call to Accumulate XRP and Timeline for Price Projections
Rietveld advocates for continued accumulation of XRP, foreseeing a supply shock as institutions begin acquiring the cryptocurrency, given a large portion is locked in escrow. The resulting high demand for the remaining public supply is expected to drive the price higher.
“This will likely propel XRP’s price to unprecedented levels,” he stated.
Rietveld predicts that XRP could potentially reach $200 per coin within the next decade, with expectations of surpassing $10 within the next year.
