XRP Price Forecast: JPMorgan Cross-Border Payments Could Drive XRP to $1,000, Analyst says

XRP price is setting up for a remarkable rally above $1,000 according to a recently surfaced liquidity sheet analysis factoring in a daily cross-border payment volume of $1 trillion.

XRP’s utility in cross-border payments, especially as utilized in Ripple’s On-Demand Liquidity product (now Ripple Payments), has contributed to the bullish sentiments surrounding the cryptocurrency among market participants.

XRP’s Utility in Cross-Border Payments

This utility has caught the attention of multiple payment entities over the years. Last December, a JPMorgan report mentioned Ripple and XRP as entities that could help unlock the $120 billion trapped in cross-border payments. The Crypto Basic also revealed in November 2023 that Grayscale highlighted XRP as a potential alternative to SWIFT in cross-border settlements.

In addition, The American Institute of Physics, the IMF and the World Bank also spotlighted XRP’s utility in cross-border payments in different reports. Interestingly, even SEC Chair Gary Gensler previously acknowledged XRP’s advantages for use in cross-border payments over traditional fiat currencies.

With this utility recognized by the general public, investors believe XRP is massively undervalued, projecting an imminent price explosion, especially on the back of a growth in the cross-border payment sector. Citing the Bank of England, Ripple noted in its 2023 New Value Report that the cross-border payment sector could witness a $250 trillion in volume in the next three years.

With this projection expected to materialize, pundits argue that XRP would need to soar way beyond its current price below $1 if it captures a fraction of this volume. Mason Versluis, an XRP community figure and founder of Gold Squad, presented a sheet last August of hypothetical price requirements for varying cross-border payment volumes.

An Argument for a $1,000 XRP Price

A prominent market analyst, by the Twitter (X) pseudonym Mason Versluis recently called the XRP community’s attention to a document, lending credence to the lofty price target. In the sheet, the analysis evaluates trading liquidity needed to be for XRP to cater to different daily cross-border payment volumes.

Recall that finance pundit Shannon Thorpe previously argued that XRP would be undervalued at $500 if it locked in a portion of the projected $250 trillion cross-border payment volume.

Versluis’ sheet proposes that XRP would only sufficiently address daily payment volumes ranging from $1 trillion to $20 trillion if its price is at least $1,000. At a $1,000 price, the market would need to move 1 billion XRP tokens to account for a $1 trillion volume and 20 billion tokens for a $20 trillion volume.

For XRP to clinch a $1,000 price, it would need to skyrocket by a massive 188,543% from its current value of $0.5301. With this price potentially pushing XRP’s market cap to an unimaginable $55 trillion, some industry commentators have strongly expressed doubts.

Moreover, some have pointed out that a $1 trillion daily cross-border volume is a difficult task for XRP over the next ten years and beyond. For context, the entire global cross-border volume stood at $150 trillion in 2022, representing an average of $410 billion volume a day. A $1 trillion volume would be more than double this figure.