Ripple Surges on Coinbase Rumor, Then Sinks as Rumor Debunked

Ripple’s value surged this morning, following rumors that Coinbase would add the digital currency, then sank this afternoon when the exchange announced it had no plans to integrate additional currencies at present. This is the second such rumor, and second denial from Coinbase, in as many months. It is unclear why Ripple’s fans are so convinced the currency is about to be added to the popular US-based exchange.

Rumors of a Coinbase integration of Ripple began making their rounds on the Internet following word that Ripple’s CEO and Coinbase’s president will both be on CNBC’s “Fast Money” show Tuesday. The currency was up 5% this morning, but ended the day down 4% once Coinbase nixed the rumors.

Deja vu

Today’s Ripple rumor cycle is reminiscent of early January, following the currency’s rapid end-of-2017 surge. On January 4, Coinbase posted on its blog, following a day of furious rumors:

As of the date of this statement, we have made no decision to add additional assets to either GDAX or Coinbase. Any statement to the contrary is untrue and not authorized by the company.

Today, rumors of a planned integration began swirling again, causing Coinbase to issue another rebuttal, this time on their Twitter feed:

Our January 4th, 2018 statement continues to stand: we have made no decision to add additional assets to either GDAX or Coinbase. Any statement to the contrary is untrue and not authorized by the company.

Rumors and innuendo

This author recalls rumors in early 2016 that Coinbase was going to be adding Ethereum to its platform. While the company eventually did add Ethereum, it wasn’t until much, much later. The reason for the rumor? Ethereum was holding a Blockchain get-together in one of Coinbase’s unoccupied meeting rooms that the company leased for that purpose. As it turned out, it was just a public gathering – no more, no less.

The twice-debunked Ripple integration rumor should serve as a warning to those who would seek to trade purely on rumors. Buying – and holding – a promising cryptocurrency is likely to have much better results than following anonymous voices on the Internet who speculate this or that.