Despite demonstrating a greater degree of resilience to the current cryptocurrency market downturn compared to its larger peers, the longstanding legal battle between the Securities and Exchange Commission (SEC) and Ripple has been an anchor preventing XRP price from rising above a crucial level of resistance at $2.80 in recent weeks.
Numerous market commenters had expressed concern that a protracted legal battle could serve to ultimately diminish the asset’s appeal. However, the election of Donald Trump was largely seen as the catalyst that would resolve the issue in Ripple’s favor, as the SEC, after Gary Gensler’s departure, embarked on a spree of dropping cases.
On March 19, Ripple Labs Chief Executive Officer Brad Garlinghouse announced that the regulatory body will be dropping its appeal against the original 2023 ruling in Ripple’s favor in a post on social media platform X.
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“This is it – the moment we’ve been waiting for. The SEC will drop its appeal – a resounding victory for Ripple, for crypto, every way you look at it. The future is bright. Let’s build,” Garlinghouse said.
By press time on March 19, the price of XRP had surged to $2.57, marking a 14.79% gain on the daily chart. With this latest development, XRP’s year-to-date (YTD) returns stand at 20.56%.
With this major development in mind, Finbold has decided to consult OpenAI’s newest artificial intelligence (AI) model, ChatGPT 4.5, for additional insight as to what levels XRP price could reach by April 1.
ChatGPT 4.5 outlines bullish and bearish factors impacting XRP
The large language model (LLM) began by outlining the most relevant bullish factors currently at play. Unsurprisingly, the resolution of the legal battle with the SEC was the first catalyst highlighted. In addition, GPT 4.5 also mentioned XRP’s inclusion in the U.S. crypto reserve, as well as the fact that large accounts accumulated roughly 150 million tokens in mid-March.
Lastly, the AI model highlighted the recent approval of Ripple USD (RLUSD), a stablecoin pegged to the U.S. dollar, as yet another positive catalyst.
On the other hand, GPT 4.5 put a spotlight on the 200 million XRP tokens recently moved from the March unlock, market volatility, and competition from other cryptocurrencies as bearish factors. In addition, it noted policy uncertainty — to be precise, the fact that the aforementioned strategic reserve’s assets will come solely from forfeiture proceedings as yet another negative catalyst.
It should be noted that most of these bearish factors, apart from the escrow schedule, apply to the market at large — and therefore the bearish case, on the whole, is weaker than the bullish one.
ChatGPT 4.5 sets XRP price targets
With all of that said and done, OpenAI’s latest model set three price targets for XRP on April 1 — representing a bullish, bearish, and neutral scenario.
If key resistance levels are breached and positive developments continue, GPT 4.5 predicts that the prevailing XRP price at the start of next month could be as high as $4.01, which would be a new all-time high (ATH) for the token. This figure implies a 56.03% upside.
For a neutral scenario, which assumes stable market conditions and moderate progress, the LLM set a $3.16 price target, which would correspond to a 22.95% rally from current XRP prices.
Lastly, the AI model’s bearish scenario, which envisions negative market trends and failure to breach resistance, entails a $1.95 price target, which would equate to a 24.12% drop from current levels.
Featured image via Shutterstock
