According to data, XRP saw a significant 15% spike in its price over the last 24 hours.
The price gain was met with a more than 250% growth in its daily trading volume.
Could this recent rally rest solely on Bitcoin’s rally?
Some fundamentals.
Ripple is a payment settlement system and currency exchange network.
In a transaction between 2 parties, the Ripple network confirms that an exchange went through properly.
XRP is a cryptocurrency that runs on the XRP ledger. It is the currency used to finance transactions on the Ripple network.
What makes this network unique is that within seconds it can detect a mismatch on a transaction and then figure out what went wrong.
Plus, it is super-fast and with much lower costs.
The advantages are:
- Fast settlement
- Low fees
- Versatile exchange network (Uses XRP but also uses other fiat and cryptos)
- Large institutional adoption
Disadvantages:
- Somewhat centralized-some control from a list of validators
- Large supply of XRP that is pre-mined.
- Volatile asset
As part of an older generation, yet with a Coinbase wallet and a belief in the future of XRP, I think it’s a good time to look at the chart and price performance.
January 5, 2018, XRP made an all-time high at 3.06.
Since then, XRP spike in April 2021 to 1.89. Then in July 2023, XRP ran up to .9479. In November 2023, XRP ran to .7486.
Monday March 11, the high was .7449 with huge volume.
Since 2018, every spike high was at a lower price than the one prior.
When a chart makes a series of lower highs, one simple technical signal is to follow the breakout of the previous high as that pattern is now broken.
In XRP, a move over .7486, or last November’s highs would be such a signal.
Furthermore, you can see the Real Motion chart and the rising momentum.
That makes me think that a move over that November high will bring yet another surge of volume as many folks are watching XRP carefully.
Personally, I believe that XRP could come back to life and take out the 2018 highs to go much higher.
However, patience waiting for the chart to set up is always the right thing.
Twitter: @marketminute
The author may have a position in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author and do not represent the views or opinions of any other person or entity.
