- XRP price recovers after a 12.5% โโdrop over the past week ahead of the expected approval of the Bitcoin Spot ETF.
- Ripple CTO David Schwartz claims that the cryptocurrency market is still in its early stages and that a โwinnerโ has not yet been found.
- Schwartz reiterates Ripple's strategy of reducing XRP holdings as quickly as possible.
XRP price is seeing the start of recovery ahead of the possible approval of the Bitcoin Spot ETF by the Securities and Exchange Commission (SEC). Ripple had its moment during the lawsuit process last year and is now expected to see optimism due to broader market signals.
Ripple CTO shares company plans
Ripple's Chief Technology Officer (CTO) David Schwartz recently visited X, formerly Twitter, to answer a couple of questions about the company and its plans. In response to a tweet about Ripple's core business regarding XRP dumping, Schwartz noted:
"Ripple has two options. We can continue to hold as much XRP as we have or we can reduce the amount of
The Ripple executive further stated that according to him, the crypto space is still in its early stages and finding a winner will take some time. He said that the cryptocurrency market is dominated by factors that affect all cryptocurrencies equally and drew a comparison between cryptocurrencies and the search engine space.
"The same thing happened with searches in the '90s," Schwartz said. "If I was trying to hire you to work at Google, I would explain to you that search is the next big thing and that the market was going to explode and make us one of the most valuable companies in the world."
But you could also say that trying to hire people in [Ask.com, AltaVista, Lycos, Yahoo, Ask Jeeves]Schwartz continued. โThe market began to realize that search was a big problem before it was able to determine that Google would be the winner.
This is a bold comparison, considering that Alphabet, Google's parent company, is today the fourth largest company in the world, with a market capitalization of $1.73 trillion. While Ripple may or may not reach this market cap even as the crypto market peaks, it is certainly already among the top crypto assets.
XRP price to see growth
XRP price, which was trading at $0.562 at the time of writing, bounced off the crucial support at $0.551 after falling nearly 12.5% โโlast week. This two-month low price has been tested as support and resistance several times in the past, and failure to overcome it would have fueled bearish momentum.
However, if the alternative currency can maintain the new bullish momentum and recover to $0.600, it could erase the losses seen last week. This is a likely outcome considering the upcoming Bitcoin ETF spot approval, which could trigger a bull run in the next 48 hours.
XRP/USD 1-day chart
On the other hand, if money flows to bitcoin and altcoins are affected, XRP price could decline to $0.540, invalidating the bullish thesis.
Ripple FAQ
Ripple is a payments company that specializes in cross-border remittances. The company does this by leveraging blockchain technology. RippleNet is a network used for payment transfers created by Ripple Labs Inc. and is open to financial institutions around the world. The company also leverages the XRP token.
XRP is the native token of the XRPLedger decentralized blockchain. Ripple Labs uses the token to facilitate transactions on XRPLedger, helping financial institutions transfer value without borders. Therefore, XRP facilitates instant and trustless payments on the XRPLedger chain, helping financial companies save on the cost of transactions around the world.
XRPLedger is based on a distributed ledger and blockchain technology that uses XRP to power transactions. Ledger differs from other blockchains because it has a built-in inflammatory protocol that helps combat spam and distributed denial of service (DDOS) attacks. XRPL is maintained by a peer-to-peer network known as the XRP Ledger global community.
XRP uses the interledger standard. This is a blockchain protocol that helps payments across different networks. For example, the XRP blockchain can connect the ledgers of two or more banks. This effectively eliminates middlemen and the need for centralization in the system. XRP acts as the native token of the XRPLedger blockchain designed by Jed McCaleb, Arthur Britto and David Schwartz.
