The Ripple-affiliated cryptocurrency XRP has underperformed 90 of the 100 largest cryptocurrencies by market capitalization in the past 24 hours. Prominent trader Peter Brandt recently suggested that XRP price could end plummeting to zero against Bitcoin.
The Ripple-affiliated cryptocurrency XRP has underperformed 90 of the 100 largest cryptocurrencies by market capitalization in the past 24 hours. Prominent trader Peter Brandt recently suggested that XRP price could end plummeting to zero against Bitcoin.
That said, this seemingly depressing price action might not be as bad as it seems.
As noted by analyst Bill Morgan, these figures are heavily skewed by the massive rally the token saw following Ripple’s partial victory against the US Securities and Exchange Commission last July.
While XRP’s price performance may not be as atrocious, the analyst is still baffled by XRP’s complete failure to maintain its momentum following the July court ruling.
Alex Dovbnya“The better question is not why the price of is trading at the prices visited in 2018,” Morgan said in a post on the X social network.
Short-lived price rally
After US District Judge Analisa Torres ruled that XRP is a security only when Ripple would sell it to institutional buyers, the price of the controversial token saw a major rally.
XRP hit a high of $0.94 in 2023 on the Bitstamp exchange following the ruling. However, this renewed enthusiasm around XRP was very short-lived, with the token crashing 57% from its post-failure peak.
Tomiwabold OlajideAt the time of this publication, XRP is trading at $0.49 on the Bitstamp exchange. For comparison, the token peaked at around $0.71 in July 2018 even though the cryptocurrency was in the middle of a bear market.
Ripple does not suppress XRP
While some members of the community have expressed concerns that Ripple could artificially suppress the price of the XRP token with its artificial sales, Morgan is convinced that this is not the case.
As reported by U.TodayMorgan has noted that Ripple does not offer discounts to on-demand liquidity (ODL) customers, meaning the company’s ODL sales have a neutral impact on the company’s price.
