While Bitcoin remains the top player in the crypto market, cryptocurrency, Ripple (XRP), has been noted to be blazing a trail with a remarkable surge in price after lagging behind for a long period.
The crypto sphere was in for a shock when the US-based tech firm’s digital currency, Ripple, rose above its $0.50 mark in September after a massive decline. The cryptocurrency had reportedly lost about 90% of its value around June after rising above $3.80 in January and had dethroned the world’s second largest cryptocurrency, Ethereum, with its comeback.
As crypto experts and market analysts struggled to comprehend the reason behind this rather dramatic surge, it became clear that a number of reasons could be responsible for the bull run. With the crypto market, you never know what happens next.
One of the major factors perceived to be responsible for the deflection of interests in favour of XRP was the announcement of Ripple’s plans to bridge the gap between traditional financial institutions and the new digital cash system.
Ripple to Launch xRapid
While it is not completely safe to conclude that this could be the reason behind the rise in trading volumes of the digital currency, the announcement of the development of the xRapid by the tech firm must have doubled the frenzy in the cryptocurrency market.
From previous records, price movement in the crypto market could be attributed to any announcement or movement in the mainstream financial market. The xRapid technology was to aid banks in speeding up transactions through XRP.
Though the launch date had been unconfirmed at that moment, the market was apparently gearing up towards the development and that could have been the reason for the surge.
The Swift and Ripple Partnership
Given records of market volatility, analysts were sceptical about the constituency in the price pattern of the coin at the time of the bull run. The cryptocurrency had, however, kept its crown as the second-largest in the market despite a few falls along the way due to the overall state of the market.
The cryptocurrency is, however, seen to be gaining traction again as rumours of a new partnership between money transmission system, SWIFT and the tech firm comes to light. SWIFT had been reportedly interested in integrating Blockchain technology on to its platform.
Though the details of the partnership remains undisclosed, there is a price movement albeit minute in light of these plans. The feasibility of these plans is, according to crypto enthusiasts, perceived to be high as the company had maintained a remarkable status as one of the growing crypto companies.
The company had been reported to have already established strategic partnerships with several banks which given the wariness of banks to cryptocurrencies is a major achievement.
Also, the company is in talks with US President Trump’s Administration in line with plans made to gain appropriate approval from the relevant authorities to continue with the trading of XRP.
With the rather strict regulatory grounds in the US for cryptocurrencies, appropriate approval from relevant channels would mean a push in the right direction for XRP.