Ripple price weekly analysis: A week of ups and downs
Ripple takes two steps forward and one back as the market keeps traders on their toes.
- XRP price is up overall despite some big moves up and down.
- Gains of around 23% over the last week.
- Market cap closing in on $32 billion, up from around $28 billion.
The last week has been interesting. After the big gains early this week that saw XRP trading at around $0.95 after starting the week at a little under $0.71, Ripple is currently trading at about $0.81. If you bought in early this week and took advantage of the lower prices, which have been slowly building over the last month, there were some nice returns to be made. But HODLers were also rewarded if they hung on to their coins.
That's reflective of much of the market with trading volumes, market cap and the prices of established coins all tracking on roughly similar trajectories. Coinspeaker's recent analysis points to overall increased trading volumes and market caps.
Trading volumes are on the rise. Last Thursday, trading volumes were around $642 million with about 901 million XRP changing hands. Yesterday, almost two billion coins changed hands reflecting the busyness of the markets over the big run of the last few days and the subsequent fall.
Even having Snoop Dog perform at an XRP event, according to FXStreet, wasn't enough to keep XRP trading at the $0.90 level we saw a couple of days ago. They suggest the pullback from that level is the result of people overbuying at the high price and subsequently dumping XRP. That's reflected in CryptoMarketSignal's view that there's more risk than reward in buying Ripple at the moment.
Ripple's market model, where a new tranche of coins is released by the founders, and their mission to act as a go-between for large banks making currency exchanges, means XRP has a different set of risks to other coins that are mined. But the market seems to be treating XRP in the same way as coins that are created by mining.
Interestingly, as XRP adds more partnerships, such as their recent integration with Apple that has resulted in Apple Pay integrating Ripple’s Interledger protocol, the usefulness of the coin will become more obvious and could lead to more upside. That adoption is what is leading some analysts to suggest Ripple could build towards $10 although that's highly speculative given it's battling to reach $1.00.
Disclosure: At the time of writing, the author holds STELLAR, BTC, EOS, NEO and XRP.