Why Ripple’s price is going up right now

Harry Tucker 30 December 2017 NEWS

ripple - in text

The altcoin has gone up over 50% in 24 hours to become the second biggest cryptocurrency, taking over from Ethereum.

Over the last 24 hours Ripple's XRP price has gone through the roof, hitting over US$2 for the first time and reaching US$2.50 temporarily.

List of exchanges that allow you to buy Ripple

As a result, Ripple's market cap is now sitting at US$95 billion, over US$20 billion more than the market cap of Ethereum, making it the second-biggest cryptocurrency by market value.

Since the beginning of the year, Ripple has grown a huge 28,000% as it gets more banks and financial institutions onto its platform.

What's causing the price to rise so fast?

Ripple was one of the only major cryptocurrencies to not take a big hit over the Christmas period, quadrupling the week before 22 December while the likes of BTC and ETH were crashing up to 30%.

It’s believed a lot of this is due to its popularity in Asia. Ripple's joint venture with Japanese financial institution SBI, SBI Ripple Asia, was announced earlier this week, and it's exploring how it can use the technology in card payments across Asia.

This venture has been responsible for several big partnerships in the region, with over 75 companies now supporting the technology.

In the USA Ripple announced in late November a partnership with American Express, opening up American Express’ business customers to route payments through Ripple’s blockchain network. Ripple says XRP will be used with American Express to speed up payments “later on”.

These types of partnerships have given a legitimacy to Ripple, tying the value of the XRP token to Ripple’s performance as a company, rather than others such as Bitcoin which is based on pure speculation.

Earlier this month Ripple hired Facebook's communication manager, Tom Channick, adding another strong name to the company's growing team.

Hedge funds are also getting in on Ripple, with tech figure Michael Arrington announcing a new US$100 million fund at the end of November that will be denominated in Ripple XRP.

Today's Ripple Price

1
0
Updated: 20 Aug 2018 14:38:13 UTC
Disclaimer: This information should not be interpreted as an endorsement of cryptocurrency or any specific provider, service or offering. It is not a recommendation to trade. Cryptocurrencies are speculative, complex and involve significant risks – they are highly volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of future performance. Consider your own circumstances, and obtain your own advice, before relying on this information. You should also verify the nature of any product or service (including its legal status and relevant regulatory requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may have holdings in the cryptocurrencies discussed.

Latest cryptocurrency news

Latest crypto guides

Ask an Expert

You are about to post a question on finder.com.au:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com.au is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Privacy & Cookies Policy and Terms of Use, Disclaimer & Privacy Policy.
Ask a question
Go to site