XRP Price Falls to its Lowest Point in Two Weeks as Ripple Investors Look for Answers
XRP has been very volatile in the last weeks. Back in September, its price skyrocketed more than 100% in just a few days. The community was very excited about the Swell event and a new product that was going to be released by Ripple. At the same time, the company was able to sign a partnership with the American banking institution, PNC.
During these days, XRP was able to surpass Ethereum as the second most valuable virtual currency in the market. However, XRP experienced a correction that brought his price down to $0.55 dollars for some time. Later, XRP’s price went down to $0.45 some days later to stabilize itself back again close to $0.55 dollars.
At the moment, XRP is falling again being traded close to $0.468 dollars and losing 2.76% of its price in the last 24 hours.
Ripple’s xRapid product has also promised numerous banks and financial institutions to reduce costs and times associated with cross-border transfers. Investors believed that the launching of the new product was going to drive XRP prices even higher. But it was not the case. Since the beginning of October, XRP lost almost 23% of its price, showing deception in the market.
But there are some things that can let us better understand what happened to XRP and why its priced dropped. The first thing to mention is that XRP did not increase in price because of the number of banks working with Ripple, instead, the price grew after speculation on the matter. Although there are several banks and financial companies that showed their interest to join Ripple Network and embrace new products, they haven’t entered the market as of yet.
The banks and institutions that are going to work with the xRapid product have yet to implement the solution and test it.
Another important thing to mention is that the Swell event generated a lot of expectations in the community. For example, during the event, the former US President Bill Clinton was present. Despite the fact that his presence was awaited and very positive, the speech he gave did not attract investors or the financial sector.
Ripple and XRP continue to grow in the market and have been able to achieve very important things. There are more than 100 companies working with Ripple and testing different products developed by the company. At the same time, XRP could be used by many other financial institutions in the future, something that leaves a possibility for XRP’s price to increase in the future.
At the moment, XRP is the third most valuable virtual currency after Bitcoin and Ethereum and it has a market capitalization of $18.6 billion dollars.