Ripple has already outperformed Ether twice. However, if you are going to ask Bitcoin bull Tom Lee, he believes that it isn’t too late for a comeback. Tom Lee is known for his prediction that Bitcoin is going to hit $22K this year.
Ripple has been doing good lately. Most of it was due to the efforts of its team to have the cryptocurrency adopted by different financial institutions. Over the years, it has built partnerships with different companies such as Western Union and MoneyGram along with banks such as Santander. Ripple has catered different products that had the aim to address cross-border transactions.
Though Ripple has experienced its share of challenges in recent months, it seems that those days are behind the team for now. Ripple was dealing with lawsuits a few months back claiming that XRP is a security. And also, you have the fact that Western Union released a statement saying that Ripple’s product never really decreased the cost of a cross-border transaction.
The primary reason for the bullish performance of is the anticipation to the xRapid which is said to be a bridge between fiat and cryptocurrencies. Its goal is to make cross-border transactions faster. Banks have a pre-purchased amount of XRP that will then be sent to banks and then converted into fiat.
Ethereum has been down by more than 70% already since January. In just the past three months, Ethereum has dropped by half of its value. As for Lee, in the four times that Ethereum lagged badly, Lee simply mentioned that he saw a “major trend reversal”. As for Lee, “We believe Ethereum is about to stage a trend reversal and rally strongly”.
Though 2017 was a solid year for Ethereum, it seems that investor patience is wearing thin this year on the cryptocurrency. It seems that adoption is still not yet happening. And also, competitors such as EOS are now looking to take over what Ethereum has built.
As for Lee, he “believes sentiment is currently overly negative on ETH”. He thinks that the bearish trend on Ethereum’s chart is a “sign of capitulation”. He also added that Ethereum was “dogged” with a heavy supply being sold from EOS. EOS was running on Ethereum before it switched to its own new token.
Should You Buy Ethereum Now That It’s Low?
Should you be buying Ethereum now and wait for it to make a comeback? Is there really a strong rally soon?
If you are going to read between the lines to what Vitalik Buterin mentioned, he said that the days of seeing another crypto boom that can reach an increase of 1000x is no longer possible. According to Buterin “The blockchain space is getting to the point where there’s a ceiling in sight. If you talk to the average educated person at this point, they probably have heard of blockchain at least once. There isn’t an opportunity for yet another 1,000-times growth in anything in the space anymore”.
As for Tom Lee, he said that threats to the cryptocurrency can be seen in its “challenging technical picture”. As for technical strategist Rob Sluymer, he thinks that Ethereum is “firmly in a pronounced downtrend”.