Ripple prices remained relatively flat in yesterday’s trading, although there was a slight bias to the downside. XRP prices dropped 1.12% over 24 hours, adding to a lackluster week of 13% losses.
All this occurred despite Ripple news of expansion into China.
Under normal circumstances, investors ramp up their holdings at the merest whiff of international expansion. However, in this case, optimism was blunted by confusion over whether or not Ripple is entering China alone.
Rumors were swirling on popular forums that XRP is partnering with Chinese internet giant Alibaba Group Holding Ltd (NYSE:BABA).
Some even speculated that one of Alibaba’s many subsidiaries was running an XRP node in Hangzhou, China, but that assertion was smacked down by Ripple’s PR team.
“Alibaba (the company) is not running a validator,” they said.
Also Read: Ripple Price Prediction for 2018
Considering that such a flat denial is hard to walk back, it might be wise to assume that the rumors of a Ripple-Alibaba partnership were unfounded.
As of now, Ripple is indeed going to enter the Chinese market, but it will be doing so alone.
XRP prices appeared to stabilize hours after the clarification. Around noon (UTC) today, prices found enough footing to establish a small 2.7% gain.
Even if clarity is able to stop the slide in XRP, it still looks as if the market is rotating funds to Bitcoin. This much is obvious from the fact that BTC dominance—a measure of how of Bitcoin fares against the rest of the cryptocurrency market—is above 50% again.
So, in the short term, our Ripple price forecast continues to suffer from headwinds not of its own making. That said, if Ripple is able to make inroads in China, its return on investment could be stratospheric.