A flippening has once again appeared in the crypto market, but to the shock of many, it is not what was long anticipated. Bolstered by a seemingly-parabolic rally not witnessed since January, Ripple managed to nearly flippen Ethereum to become the second largest cryptocurrency. This is after the coin’s price tripled in value in a week after struggling as one of the worst performing top cryptocurrencies this year.
Price Analysis
Ripple (XRP) gained more than 80% Friday to a high of 77 cents, bringing its gains this week to 185%, according to data from coinmarketcap. This boosted the coin’s price from $0.274 to $0.558274 as of writing time. Also, its market capitalization jumped to roughly $26.8 billion, surpassing Ethereum as the second largest cryptocurrency behind bitcoin.
Moreover, in December and early January, XRP surpassed Ethereum’s market cap after investor mania and the “Kimchi Premium” drove its price as high as $3.84. This made ripple the first digital currency after bitcoin to achieve a $100 billion market cap. However, later Ethereum managed to regain its position.
News and Developments
Justin Sun recently tweeted that the surge of XRP in the markets was due to PNC Bank recognizing Ripple’s protocol. Additionally, he stated that this was a sign that financial institutions will embrace blockchain. He also revealed a little-known fact that he once worked as the coin’s Chief Representative in China.
Additionally, there are rumors of a new product. One of Ripple’s executive told CNBC this week that the start-up was making headway with its xRapid product. The main objective would be to help banks speed up transactions by using the cryptocurrency XRP. The cryptocurrency will be used as a bridge between currencies, thus enabling banks to process faster transactions.
What else do you think may have contributed to the recent surge in XRP price?
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