XRP Has Started to Recover 'With a Vengeance', eToro's Senior Analyst Explains

Omar Faridi

XRP, the third largest digital asset in terms of market capitalization, has been “pumping hard” recently - as eToro’s senior market analyst, Mati Greenspan pointed out via Twitter.

In his detailed Twitter thread, Greenspan wrote: “While the rest of the crypto market is stalling, $XRP is pumping hard this morning.” He added that XRP “went quiet” from December 11th, 2018 to late January 2019. However, the digital asset’s price has started to recover “with a vengeance” since January 26th, Greenspan noted.

According to the experienced analyst’s observations: “$XRP volumes have been dominated by Bitcoin and Tether $USDT over the last six months. However, we can see that dynamic tapering off in the last few days.”

Commenting on XRP’s price, Twitter user “Macro CryptoRevolution” (@MarcoCryptoRevo) mentioned that “rumors drive the price” in the digital asset market. He predicted that the performance of XRP and bitcoin (BTC), the flagship cryptocurrency, would be correlated for the “next few years.” He remarked:  

XRP for the banks and conservatives. Bitcoin for the free thinking people! #BTC Future.

At press time, XRP is trading at $0.3403 as its price has surged by nearly 9% in the past 24 hours - according to CryptoCompare data. The market capitalization of XRP tokens currently stands at just over $13.7 billion.

Giant Omani Financial Institution Joins RippleNet

Ripple Labs, the San Francisco-based fintech firm that has supported the development of XRP,  recently announced that Oman’s second-largest financial institution, BankDhofar has joined RippleNet, which is Ripple’s global payment network.

Navin Gupta, Ripple’s managing director for the Asia and MENA (Middle East and North Africa) region, shared a press release (via Twitter) which revealed that the American fintech’s “bi-directional messaging and instant settlement features” would be used by BankDhofar to process international payments in a quick, secure, and cost-effective manner.

XRP Is The "Number One Cryptoasset"

Expressing his confidence in Ripple’s suite of financial products, including XRP, Yoshitaka Kitao, the CEO of SBI Holdings, a Tokyo-based financial services firm that generates an average of $200 billion in annual revenue, recently remarked (translated from Japanese): 

XRP is the number one crypto asset.

Yoshitaka also claimed that bitcoin has “no fundamental value” which is why he thinks the flagship cryptocurrency’s price will eventually go down to “zero.”

Earlier this month, the SBI Group had published its latest financial report (covering a 9-month period ending on December 31st, 2018) in which it noted that XRP was the first cryptocurrency that was integrated into R3’s Corda Settler, which is “an application purpose-built to allow for payment obligations raised on the Corda blockchain platform to be made through any of the world’s payment systems, both traditional and blockchain-based.”

Litecoin’s Price Surges Past $100 Mark as Its Halving Event Approaches

The price of litecoin (LTC), a cryptocurrency created back in 2011 that’s often seen as the silver to bitcoin’s gold, has been outperforming most other cryptocurrencies so far this year, as its halving vent is fast approaching.

According to CryptoCompare data, LTC is currently trading at $103 after rising 4.1% in the last 24-hour period, and over 42% over the last 30 days. The cryptocurrency has even been outperforming BTC, which has been facing resistance at the $8,000 mark.

Litecoin's 30-day performance

At press time, most other cryptocurrencies are up by less than 1%, with EOS, ETH, and Binance’s BNB being up by 1.09%, 1.6%, and 2.8% respectively. BNB’s price has been moving up after the exchange teased the rollout of margin trading.

What’s behind litecoin’s strong performance isn’t yet clear, although some analysts speculate its halving event is behind it. On LTC’s network the halving event occurs every 840,000 blocks and this one is set to bee block rewards drop from 25 LTC to 12.5 LTC.

These events essentially decrease inflation and remind users that the supply of cryptocurrencies like litecoin is limited. As a result the cryptocurrency’s price often goes up before the event, as its scarcity increases demand.

Litecoin’s halving event is expected to occur on August 6 of this year, meaning it’ll occur in about 72 days.

It’s even possible that investors looking to gain exposure to the cryptocurrency space are just betting on litecoin because of the upcoming halving event, as these events are often preceded by bull runs. Historically, bitcoin’s price has increased before every halving event, for example.

There could be other factors involved, however. The Litecoin Foundation has been sponsoring Ultimate Fighting Championship (UFC) matches since late last year to increase cryptocurrency adoption, and it has recently partnered with leading crypto-friendly accommodation booking platform Travala to help increase adoption of cryptos for payments.

Recently, a litecoin user paid a 200 LTC transaction fee, worth over $20,000, to move less than $1,000 in a single transaction. While the move appears to have been accidental, some have speculated it could have been made by miners laundering money.