- Ripple prices flat
- Stellar—IBM partnership and roll-out of World Wire bullish
- Transaction volumes must spike above 60 million for bulls or bears to be in charge
IBM involvement is a game changer. Although they are launching from Stellar, their confidence in blockchain could see banks experiment with crypto. In that case, some may decide to leverage RippleNet thereby boosting XRP prices—especially if they opt to use xRapid.
Ripple Price Analysis
Optimistic as we may, we also recognize that banks are conservative. Before experimenting with new technology, it is unusual for them to demand demonstrations with cogent explanations as to why they should shift. However, it is the entry of IBM and Big Blue’s decision to launch a similar service in World Wire, which somehow competes with Ripple.
From public data, both promise to cheap and instantaneous fund transfer in a secure medium via digital assets—XRP in Ripple and stable coins of even fiat in World-Wire. Ripple utilizes their proof of correctness ledger while IBM has a rather fruitful partnership with Stellar Network.
The same person, Jed McCaleb founded these ledgers. Nevertheless, a game changer in this situation is IBM track record in banking. By actively offering solutions for financial institutions as they aim to improve customer experience by “building agile core banking systems, offering innovative payment services and optimizing enterprise risk management,” banks will be willing to experiment with the idea of unregulated, decentralized money.
That means, with the field open, some may decide to join a more mature ledger actively working with regulators from all over the world in RippleNet, therefore, increasing Ripple’s customer base.
All the same, Ripple (XRP) prices are under immense sell pressure. At the time of writing, the third most valuable coin was up 1.6 percent from last week’s close with a market cap of $13 billion meaning the gap between ETH—XRP is widening.
Despite this “insurmountable” sell pressure, we are optimistic of price surges. Backing our stance is strong supports at 30 cents. In the last three months, sellers have been unsuccessful and yet to drive prices below 30 cents as prices consolidate within a tight 4 cents trade range.
Unless otherwise there are breaks below this support level, it is highly likely that the result of this accumulation is a strong breakout above 40 cents mirroring gains of late Sep 2018.
By yesterday’s close, participation was low at 6 million averaging 14 million. Since we are bullish, we expect prices to spike. Complementing this is increment would be high volumes exceeding 60 million.