"It doesn't end at $5"...XRP, envisioning a surge to $4,300 via bank payment networks

▲ XRP/AI-generated image

XRP is once again being discussed as a key asset that could trigger the next price rally. Some market analysts are linking XRP's price outlook not merely to speculative demand, but to the liquidity structure required by bank and institutional payment networks.

According to NewsBTC on May 8 (local time), crypto analyst Don Digital Finance presented two catalysts that could drive XRP's price increase, based on a leaked video featuring Teucrium CEO Sal Gilbertie. The video mentioned multiple price models estimating XRP's fair value from $5 to $4,300.

NewsBTC reported that while many XRP price forecasts in the market are based on expectations and speculative sentiment, this model differs in that it views XRP as a functional payment tool for banks and institutions. From this perspective, the logic presented is that a higher XRP price is necessary for large-scale payment systems to operate efficiently.

Key variables are institutional adoption and transaction speed. Don Digital Finance explained that if the XRP network processes trillions of dollars in global payments, transaction speed determines the number of tokens required at a given time. Banks and institutions need deep liquidity to reduce price volatility when moving large sums.

Processing billions of dollars in transactions at a low price would require significantly more XRP. NewsBTC reported that this structure could create functional issues between the number of tokens in circulation and large-scale fund movements. Gilbertie's mathematical model is based on the calculation that for XRP to handle large institutional capital flows, its price must be high enough for the current supply to accommodate transactions.

According to Gilbertie's calculations, for such a system to work, the XRP price would need to be between $5 and $4,300. However, this figure is not a definitive price forecast but rather a model range derived under the assumption that XRP is used as a large-scale liquidity tool in institutional payment networks.

Separate analysis also raised the possibility of XRP breaking past $3 as a short-term target. Market expert XRP Queen claimed in an X (formerly Twitter) post that XRP is preparing for a strong breakout. She suggested that XRP could first reach its 2018 all-time high of $3.84, then target $227 in the long term.

XRP Queen presented the expansion of XRP's role as a global payment asset as a key upward catalyst. She explained that the XRP Ledger recently entered a $2.7 trillion market encompassing payments, decentralized media, and Web3 ecosystems. She further analyzed that XRP could establish itself as a core payment rail in this market, and this trend could support price appreciation.

NewsBTC reported that XRP's next upward catalysts are not limited to simple chart signals. The convergence of institutional payment network utilization, its role as a global payment asset, and the XRP Ledger's potential for market expansion are simultaneously attracting market attention with both the prospect of re-breaking $3 and long-term high valuation models.

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