Ripple News Update
It wasn’t a nightmare, I’m afraid—Ripple prices are genuinely falling apart.
Billions in market cap disappeared; XRP dropped below Ethereum on the list of top cryptocurrencies; fear soaked into the market.
While it’s tempting to let this fear overtake your decision-making, investors should keep a sense of perspective. This isn’t the end of the world. Ripple is still trading 448% higher than it was in early December.
You can’t expect prices to move straight “up and to the right” because that’s optimistic to the point of absurdity. Cryptocurrencies are like dynamite. They can be extraordinarily useful when used in the right circumstances, but mishandle them a little bit and…boom.
So, what ignited the recent catastrophe? What lit the fuse?
To put it simply: South Korea.
As the saner of the two Koreas—the one without a megalomaniacal leader, whose relatives are routinely assassinated—South Korea is quite a hub for trading cryptocurrencies. More than 70% of total XRP trading took place on South Korean exchanges at one point.
Ripple (XRP) Price Chart
As a result, when investors heard that South Korean officials might ban crypto trading, pandemonium swept the market. We covered the reaction in our past Ripple news updates, which you can read here and here.
However, in lieu of retelling that story, I’d like to review Ripple’s major highlights from the last three months. Widening the aperture to see this far back (three months is a lifetime in crypto-time) might help investors gain some perspective.
Consider these 11 landmark moments:
- Nov. 16 – Ripple opens corridor between American Express Company (NYSE: AXP) and Santander (Source: “Ripple Insights,” Ripple.com.)
- Nov. 22 – Ripple opens corridor between Standard Chartered PLC (LON:STAN) and Axis Bank Ltd (NSE: AXISBANK) (Source: Ibid.)
- Nov. 28 – Michael Arrington launches $100.0 million fund denominated in XRP (Source: Ibid.)
- Dec. 07 – Ripple locks up 55 billion XRP in escrow account (Source: Ibid.)
(This ignites the now famous bull run)
- Dec. 14 – Ripple opens a corridor between Japanese and Korean banks (Source: Ibid.)
- Dec. 18 – Major Thai bank uses RippleNet for client’s cross-border payments (Source: Ibid.)
- Dec. 21 – XRP price crosses $1.00 for the first time ever
- Dec. 21 – XRP liquidity expands to 50 exchanges (Source: Ibid.)
- Dec. 29 – XRP price crosses $2.00 for the first time ever
- Jan. 03 – XRP price crosses $3.00 for the first time ever
- Jan. 11 – Moneygram International Inc (NASDAQ: MGI) partners with Ripple to test international payments (Source: Ibid.)
These things are still true about Ripple, from the partnerships to the payments corridors. Only investor sentiment changed; so-called bulls lost their courage. But that doesn’t mean XRP prices will stay depressed forever.
Value always rises to the surface, eventually.
Ripple’s rapid pace of achievement shows that our investment thesis still holds true. Nothing has fundamentally changed, except for investor optimism, and that moves in cycles. As such, we maintain our $10.00 Ripple price prediction for 2018.