Ripple [XRP] price is plunging despite all the positive initiatives: Why? Can Ripple recover?
Ripple [XRP], the third largest coin by market capitalization value. Since Thursday the price is down by 2.5% and is changing hands at $0.4590. The cryptocurrency has an average daily volume of $200 M. also the digital asset is traded with a total market value of $18B.
Ripple topped headlines for the past couple of weeks and all for the good reason. Yesterday BCFocus reported, Mr. Yoshitaka Kitao, Representative Director and CEO of SBI Holdings, bullish statement about Ripple. He said at the Japan Blockchain Conference “using XRP can create a more efficient world” and “He is confident Ripple will be the global standard” – Facebook today announced it’s reversing its cryptocurrency ad ban effective immediately
Also, Indian bank Kotak Mahindra has announced its collaboration with blockchain-enabled cross-border payment remittance system through RippleNet- Ripple’s subsidiary.
According to the reports from the press release, the bank declared that Ripple settlement solution xCurrent will be utilized for faster transactions. Earlier it was taking several days for the transaction process. But by utilizing the solution by Ripple the transaction the average time associated with the transaction will get reduced to minutes. The whole transaction will be tracked end to end, instantly enabling cross-border payments.
Kotak Mahindra Bank’s Chief Digital Officer, Deepak Sharma, said,
Despite all these good and positive initiatives by Ripple, the price is falling steeply. Crypto world is feeling skeptical about the phenomena which Ripple is undergoing now.
What is the reason for the plunge in the price of Ripple? Will it recover?
The cryptocurrency market still suffers from the major incidents which happened in the past. Cryptocurrencies value depreciated after the Korean exchange Bithumb reported that it was the victim of a theft. Reuters reported that hackers stole 35 billion won ($32 million). Bithump exchange is the 7th largest in the world based on the traded value on Coinmarketcap.com. Ripple was also stolen by the hackers.
This wobbled the confidence of investors and crypto enthusiast were feeling skeptical about investing in cryptocurrency.
CoinRail, a popular exchange, was breached, losing a predicted $28 million in lesser-known altcoins.
50 percent of the cryptocurrency market was lost of its total value in 2018. All other major cryptocurrency faced a plunge since then.
will the Value of XRP to $5 This Year?
Last year December, the CEO of Ripple, Brad Garlinghouse announced that there are fifteen executives of J.P Morgan in a talk he gave regarding Ripple (XRP) technologies. The value of Ripple exceeded $1 for the first time.
The partnership significantly impacted the value of the coin. xRapid features of Ripple gain the attention of the biggest investment bank internationally. In the recent past, J.P Morgan’s official treasury announced that they were working on a payment system (real-time) that’ll have “ripple benefits” to their clients. The announced came as a hope for the crypto investors.
Image via Ripple
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