XRP price increased by nearly 8% to over $ 0.27 – can this price be maintained in the long term?

The XRP price finally started to rise higher after consolidating around $ 0.25 in a day or two, rising more than 7% to $ 0.27 at press time. This is the highest price that XRP has traded in recent months. While this price has not been sustained for days, this increase could be a precursor to an even bigger move.

The breakthrough of XRP price is more noticeable than Bitcoin, Ethereum

Near the end of January 2020, XRP’s recent price action is reminiscent of Bitcoin Cash and Bitcoin SV prior to their latest breakouts. More specifically, like the Bitcoin forks before the protests, the XRP price is consolidating below a range-balanced price.

If XRP breaks the scope of the same range as other altcoins do, it can also increase by more than 25% to $ 0.150 in a short span of time.

Not to mention, BitMEX is about to launch Ripple USD quantum swaps, because the exchange has described this new product. With XRP still at a low level, it means that XRP will still have a driving force for BitMEX to list its perpetual contracts. The chart shows that the performance of XRP against the US dollar increased to $ 0.45 – about 80% higher than the current price – in May to just collapse later and the trend to be lower and lower.

Moreover, this launch time is quite strange, especially considering that XRP is in the middle of trying to break out of a downtrend for years. These two events take place at a time that is likely to create great volatility for the market.

900,000,000 XRP moved out of Ripple Escrow wallet

Ripple has just transferred a large amount of XRP out of its escrow wallet to three separate wallets owned by the San Francisco payment company.

In total, Ripple transferred 900,000,000 XRP, worth about $ 228 million in just three transactions. Each transaction is resolved in seconds, and the transaction costs of all three transactions are less than a penny.

The transfer allows Ripple to sell for cash throughout the month. However, Ripple is expected to sell only part of the money. Ripple owns more than half of the existing XRP and created a margin program by the end of 2017 to manage its holdings. The company opens one billion XRP from the margin each month, sells part, and pays the rest to the deposit.

In the first quarter of 2019, Ripple sold a total of $ 169.42 million of XRP on cryptocurrency exchanges and to institutions in over-the-counter transactions. In the second quarter, that number rose to $ 251.51 million.

But after receiving criticism for selling XRP, Ripple reduced its third-quarter sales to $ 66.24 million. And in the fourth quarter of last year, Ripple sold XRP worth $ 13.08 million to institutions and sold XRP with zero on cryptocurrency exchanges.

The company did not say whether it plans to increase further or decrease sales in the first quarter of 2020.

Disclaimer: This is not trading advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

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