After a week of depressing Ripple news, XRP ended the week on a positive note. Prices rose more than seven percent in the last 24 hours, extending the currency’s gains from the day before.
It was a strong move for the Ripple, especially considering that XRP has been on a downward slide for nine straight days. That came to an end on Thursday.
The Ripple-to-USD exchange rate ticked up marginally, from $0.194596 to $0.205861. Then it carried that momentum forward, bringing XRP to $0.211700.
The driving force behind the surge is simple: Investors are optimistic about a resurgence of South Korean trading volumes.
South Korea, for those who don’t know, is a major trading hub for cryptocurrencies. We reminded investors of this fact recently, because it is particularly important for the XRP price.
In fact, more than 70% of Ripple’s trading volume once came from exchanges that deal in XRP/KRW pairs (Bithumb, Korbit, and Coinone).
That number has fallen in recent weeks. However, it picked up significantly yesterday, rising to a total of 63.5%.
What is causing this surge in trading?
We believe it is the opening of a new cryptocurrency exchange in South Korea. This exchange could spark Ripple’s upward price action, because it is marketed specifically for altcoins.
When this Ripple news broke, we wrote that the XRP price would likely soar in preparation for this opening, and that seems to be happening now.
Hold on to your hats, because we could see Ripple recover to $0.25. The real tailwind, though, will come when XRP follows Bitcoin into the CME derivatives market. That would likely push the XRP price much closer to our $2.00 Ripple price prediction.