Bitcoin maximalist and popular crypto analyst Samson Mow has stated that the XRP price should be worth $5,800 for it to match the value of Bitcoin. Mow’s recent remarks come as BTC continues to outperform most altcoins, including XRP, as the latter struggles despite legal victory against the SEC and strategic acquisitions. In this article, we explore whether the Ripple price can realistically reach $5,800 and why this target seems unattainable.
Samson Mow Pegs XRP Price at $5,800 – Here’s the Math
While making his argument in an X post, Mow advocated for Bitcoin as the most ideal crypto investment, adding that altcoins such as XRP were not worth their current trading price. He added that an altcoin such as XRP needs to hit $5,800 to reach its true value. He attained this target by dividing Ripple’s current market cap by Bitcoin’s supply of 21 million coins.
“Most altcoins take advantage of unit bias by utilizing a very high supply, so people can’t figure out what they’re buying. “XRP is only $2 but Bitcoin is too expensive at $85,000!” Unit bias is absolutely destroying the uninitiated.”
Mow also noted that buying Ripple with the XRP value today of $2 is the same as buying a small fraction of Bitcoin. Therefore, in his view, a trader looking to invest in the crypto industry was better off purchasing BTC, which continues to dominate altcoins.
Why $5,800 Is Not A Realistic Target For Ripple
Mow’s calculation of an XRP target of $5,800 is not realistic, as this altcoin cannot achieve this price with the immense supply of 58 billion Ripple tokens. This is because if Ripple reaches $5,800 with this circulating supply, its market cap would soar to $336 trillion, which is 3x higher than the entire world’s GDP. Hence, this target price is not realistic and attainable.
For XRP price to surge to $5,800 and offer the same investment value as Bitcoin per Mow’s thesis, it needs to lower this supply through events such as token burns. However, Ripple currently has a mechanism that adds 1 billion XRP tokens to the circulating supply every month. As the supply rises, it makes the $5,800 target unrealistic.
Short-term Prediction for XRP Price
XRP price is exhibiting several bullish signs on the daily price chart, suggesting that it may make an upward breakout from consolidation. The Bollinger bands are constricting as Ripple bounces to the middle band, a signal that buying pressure is building up, paving the way for a recovery.
At the same time, the AO histogram bars are green despite remaining in the negative region. Traders should wait for a crossover of these bars above the zero line to confirm that a bullish momentum is now in play and that the Ripple price can extend its gains.
If buyers step in now, XRP price faces the next resistance at $2.23, and if it is successful in breaking this resistance level, it will set the stage for an upward breakout to $2.73. Such a rally will pave the way for Ripple to reach all-time high levels. Meanwhile, the recent surge in Ripple network activity supports a bullish XRP price prediction.
To sum up, analyst Mow believes that XRP will only offer the same value as Bitcoin if the price can surge to $5,800. However, this price target is not attainable, as it would give Ripple a market cap of $339 trillion. Despite this target being unattainable, the daily price chart indicates that a Ripple price rally is looming in the near term as technical indicators show weakening bearish momentum.
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