Ripple price weekly analysis: Seeking stability
Ripple shows promising signs of stability either side of volatile midweek trading.
- Ripple Labs Chief cryptographer responds to trolls on Twitter
- XRP sheds more than 50% in midweek trading
- 24-hour trading volume surges over 400%
The native cryptocurrency of the Ripple blockchain, XRP has had a very strong midweek selloff in line with the broader market. That selloff has come amid a huge drop in the XRP market capitalisation and a strong flurry of trading volume that has since settled along with some stability in price.
XRP began the week on solid footing trading in a consistent range around the US$1.99 mark, according to pricing information released by CoinMarketCap. By midweek any semblance of price stability had smashed like a window on concrete as the price went into a free-fall, halving its price to hit a midweek bottom of US$0.90 on 17 January 2018.
By the next evening, XRP recorded a remarkable surge to US$1.73, closing out the week trading at around US$1.55 at the time of writing. This shows since the rebound to US$1.73 XRP has traded with relative stability showing a price range of around US$0.20 over a period of three days to 21 January.
XRP’s market cap took a battering in line with price differentials starting out the week at US$77.1 billion moving to as low as US$34.8 billion by midweek trade. XRP’s market cap rebounded strongly after that with a show of strength at US$67.1 billion before closing out the week in relative stability with a market cap of around US$60.1 billion.
24-hour trading volume
In terms of 24-hour trading volume, XRP had not managed much over US$2 billion carrying over the previous week’s relative stability. That was until on 16 January XRP’s 24-trading volume began to surge wildly by over five times reaching a volatile US$10.6 billion by the evening of 18 January.
XRP’s 24-hour trading volume has now returned to a level of consistency that will please stakeholders in Ripple Labs, currently measuring just above US$2 billion as the weekend draws to a close.
Since the readjustment of CoinMarketCap’s price calculations, it seems there is some pattern beginning to emerge over the last couple of weeks, at least in terms of 24-hour trading volume. The pattern seems to be a surge in trading volume leading into a midweek peak and softening before returning to a stable level as the weekend approaches.
The week ended on a sour note with Ripple Labs chief cryptographer, David Schwartz, responding to negative sentiment via Twitter about the governance structure of XRP in the broader context of the Ripple blockchain.
It's amazing the way people say things that have been repeatedly demonstrated to be flat out lies with absolute certainty. Shame on you.
— David Schwartz (@JoelKatz) January 20, 2018