Former Goldman Sachs analyst Murad Mahmudov has recently raised doubts about the future viability of two major altcoins, XRP and Cardano (ADA), sparking intense debate.
Criticism
Mahmudov questions the long-term sustainability of these cryptocurrencies, suggesting that they may not possess the fundamental stability often touted by their supporters. He likens XRP and ADA to “cult meme coins,” implying that their valuation is more dependent on community sentiment rather than their actual value.
These remarks were made in the context of an overall market decline, with XRP trading far below its historical high.
While Mahmudov remains cautiously optimistic about the broader altcoin market, he still holds doubts about XRP and ADA. He predicts that altcoins may perform well overall in the current cycle and highlights their historical role in driving innovation and adoption in the digital asset space.
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However, Mahmudov has tempered this outlook due to concerns about potential economic headwinds, such as the declining US household savings rate, which could limit future investment inflows into cryptocurrencies and potentially dampen the expected strong performance of altcoins.
Early technical analysis had suggested that XRP prices could skyrocket, reminiscent of its explosive growth in 2017 when it surged by 70,000%.
