Following our recent article on how Ripple buying Circle could affect XRP’s price, we’re now looking at the other side of the story – what if Coinbase buys Circle instead?
Circle, the company behind the USDC stablecoin, has been in the middle of acquisition rumors. Some reports suggested informal talks were happening with both Ripple and Coinbase. While Circle has denied any plans to sell, insiders say valuations being discussed range from $5 billion to $11 billion. Coinbase already has strong ties to Circle through their earlier partnership in launching USDC.
If Coinbase ends up buying Circle, it could give them more control over how USDC is used across decentralized finance (DeFi) and exchanges. This might help Coinbase dominate the stablecoin market and make it harder for Ripple’s RLUSD to compete.
Why These Acquisitions Matter for Token Prices
When big players in crypto make acquisitions, it’s not just about new products, it’s about influence. A company doesn’t just buy tech. It gets access to user networks, liquidity, partnerships, and maybe even better regulatory standing.
If Ripple bought Circle, it would boost XRP by tying it closer to a major stablecoin and improving its role in global payments. That would likely give XRP more use cases and investor confidence.
But if Coinbase gets Circle, Ripple misses that chance. USDC might grow even faster under Coinbase, making it tougher for RLUSD to gain ground. That could hurt XRP’s potential as a central player in payments and finance.
Circle $USDC is an unregulated stablecoin, doesn’t comply with U.S. regulations.
If @Ripple acquires Circle, $USDC will gain full regulatory status within the United States! 🇺🇸 #XRP pic.twitter.com/OXrV2qF0bu
— JackTheRippler ©️ (@RippleXrpie) May 23, 2025
XRP Price Scenarios if Coinbase Buys Circle
At the time of writing, XRP is trading around $2.29. If Coinbase does secure Circle, XRP’s reaction will depend on broader sentiment and Ripple’s next moves.
- Neutral Scenario: XRP holds in the $2.20–$2.40 range. Investors may view the deal as competitive but not fatal to Ripple’s growth ambitions.
- Bearish Scenario: XRP slides toward $2.00 as markets view Coinbase’s gain as Ripple’s loss, especially if no strong counter-strategy is announced.
- Bullish Reversal Scenario: If Ripple quickly pivots with new strategic partnerships or upgrades (e.g., advancing RLUSD, CBDC deals), XRP could recover fast and move above $2.50.
Wrapping Up
Crypto markets often price in potential rather than just present utility. If Ripple fails to acquire Circle, it may lose short-term narrative dominance in the stablecoin race, affecting XRP’s perceived value. However, as with any major shift, much depends on what happens next. Strategic moves, tech updates, or regulatory clarity can all re-ignite bullish sentiment. For now, all eyes are on Coinbase and Circle, and how Ripple chooses to respond.
Read also: Here’s the Main Reason XRP Price May Continue to Rise as This New Altcoin Prepares for Huge Launch
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