XRP, the digital asset associated with Ripple, could be on the verge of a significant price surge, according to a recent analysis by Wall Street expert Linda P. Jones. This speculation comes after the XRP Ledger (XRPL) implemented a reduction in the reserve fee—a change that may signal a period of substantial growth for the cryptocurrency.

XRP Reserve Fee Cut Triggers Speculation on Price Surge

The reserve fee, which mandates the minimum amount of XRP that must be held in a wallet to maintain an active account, was recently reduced to 1 XRP from its previous requirement of 10 XRP. This change, implemented on December 2, 2024, has already caught the attention of analysts, with Jones among those suggesting that the price of XRP could see significant upward movement in the coming months.

The reserve fee, which has been progressively reduced over time, initially started at 20 XRP. The latest cut follows growing concerns from the XRP community about the higher reserve requirement and its impact on adoption. A substantial portion of the community felt that the 10 XRP requirement, especially with XRP’s increasing price, was discouraging new users and investors from entering the space.

Wietse Wind, founder of Xaman (Xumm) and XRPL Labs, played a pivotal role in advocating for this change. In October 2024, Wind confirmed that he had voted for a drastic reduction to 1 XRP, a proposal that was ultimately approved. As XRP’s price has surged recently, the 10 XRP fee became more burdensome. When XRP was priced around $0.50, the 10 XRP reserve was equivalent to just $5, but as the price increased to $2.50, the requirement grew to $25—making it more difficult for newcomers to participate.

The Impact of the Fee Reduction

The recent reduction to 1 XRP (equivalent to $2.60 at current prices) makes it far easier for users to open new accounts and participate in the XRP ecosystem. This change aims to foster greater adoption, especially as the cost of maintaining an account becomes more accessible.

Historically, reductions in the reserve fee have been linked to price growth for XRP. Jones highlighted that each time the fee was lowered, XRP saw a period of price momentum. When the reserve fee was reduced from 20 XRP to 10 XRP, the price of XRP increased, pushing the value of the reserve to around $5. Jones speculates that the latest reduction could signal a similar trend.

XRP Price Speculation: Could It Reach $4-$16?

Based on past patterns, Linda P. Jones has predicted that XRP’s price could potentially rise to anywhere between $4 and $16. With the reserve fee now set at just 1 XRP, this would imply that XRP’s price could see a dramatic surge of 54%-515% from its current price of $2.60.

While these predictions are based on historical trends and market behavior, it’s important to remember that cryptocurrency prices can be volatile and influenced by a variety of factors. However, the combination of the reserve fee reduction and the growing interest in XRP could be enough to trigger a significant rally in the token’s price.

What’s Next for XRP?

As the XRP Ledger becomes more accessible with the reduced reserve fee, it could attract a wave of new users and investors, further boosting demand for the token. Additionally, the ongoing development of Ripple’s network and its partnerships with financial institutions could contribute to XRP’s long-term growth.

For now, the market will be closely watching XRP’s price movements to see if it follows the historical pattern and begins to climb toward the $4-$16 range predicted by Jones.

Whether or not XRP achieves these price targets will depend on the continued adoption of Ripple’s technology, broader market conditions, and the behavior of other cryptocurrencies. However, with the recent changes in the XRP Ledger and increasing interest in the token, XRP’s future prospects are looking more promising than ever.