Ripple (XRP) had eclipsed Bitcoin (BTC) for a weekend. We expected Bitcoin at $ 20,000 and not XRP exploding by 91% in November 2020. XRP price relied on 3 factors to earn points. The company is trying to boost the price of Ripple – which suddenly is not a utility as indicated by Peter Brandt? – while his CTO had attempted to answer questions about the project’s lack of adoption.
An unexpected explosion
Bitcoin and theEther (ETH) are not the only 2 cryptos to record exceptional growth.
The course of Ripple exploded by 91% during the month of November 2020, a sharp rise that analysts did not necessarily expect.
This increase is linked to the convergence of 3 main factors which have undoubtedly contributed significantly to the rise of XRP at its highest level since November 2018.
The first is linked to an increase in the number of active addresses which accumulate tokens XRP.
Santiment analysts indicate that this trend was particularly marked on November 22, 2020 when the price of XRP was up 27%.
This number is one of the on-chain indicators for determining general sentiment around a cryptocurrency.
New product, new life
The other factor is related to the buy back strategy adopted by Ripple : during the 3rd quarter, the company bought back XRP valued at $ 45.5 million.
The company’s activity report indicated that the program was put in place to support healthy markets.
Some analysts indicate that this amount is not high enough to have a significant impact on the value of the XRP. However, it could have contributed to the positive sentiment around the latter.
The 3rd factor is the possible launch of a new service by Ripple. In fact, the company has registered a trademark for a product called ” Paystring “From theUS Patent Office.
The product is described as belonging to the category of electronic financial services for the reception and transfer of funds.
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. Your capital is at risk.
An ephemeral rise for Ripple? On paper, XRP is not structurally bound to make its holders rich. Nothing like an explosion in its price, even once a year, to make XRP fans dream again!
Litecoin, welcome in the Silver Age