Ripple Leads Crypto Market Revival on Monday
Ripple’s XRP rose as much as 23% on Monday, aiding a broad crypto market rally that was stoked by optimism that this month’s G20 summit would not result in new regulatory oversight of digital assets.
XRP/USD Price Levels
XRP rose to a high of $0.70 on Monday, reversing a weekend slump that shed 20% from its value. At the time of writing, the digital currency was up 17% to $0.68 for a total market cap of $26.7 billion.
More than $1.1 billion worth of XRP traded hands over the last 24 hours, with the vast majority of transactions placed on various South Korean exchanges. Bithumb was responsible for nearly 39% of the turnover, while Upbit saw roughly 11% of the daily amount.
Despite the gain, Ripple remains in a neutral technical state, with the MACD holding near zero and the RSI just barely crossing over 50 on the daily chart.
In terms of news, Polish cryptocurrency exchange bitBay announced Monday it now supports XRP trades. The exchange is currently ranked 48th in terms of total trade volume, according to the latest data provided by CoinMarketCap.
All major crypto assets strengthened on Monday, with the market’s combined value reaching a high of around $333 billion.
G20 Downplays Crypto Market Risks
French, German and Japanese members had championed calls for a new international framework of cryptocurrency, but those were apparently shot down by the Financial Stability Board (FSB). Mark Carney, who heads the FSB, released a statement Sunday arguing that crypto assets do not pose a material risk to financial stability at this time.
Carney’s position seems to follow a growing international trend toward examining cryptocurrencies and their place within the existing financial system, as opposed to issuing new regulations. Earlier this year, representatives from Germany and France argued for international guidelines to govern cryptocurrency and vowed to propose a framework this week.
Ripple is widely regarded as the banker’s cryptocurrency, leading some to believe that it should be largely immune from regulatory scrutiny. The digital currency system works within existing financial structures, with the vast majority of pilot projects not needing XRP at all.
The San Francisco-based company is a unique case for the crypto arena, as its founding principles do not follow the same philosophical or technical guidelines as bitcoin, Ethereum or any of the privacy-focused altcoins. Ripple offers traditional financiers and money transfer services a global network where they can process payments and transactions more quickly and at a fraction of the cost. For the skeptics, it remains to be seen whether the company’s business proposition can translate into a more meaningful use case for its underlying token.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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