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XRP Jumps 6%, Here Are Likely Scenarios Fueling Uptrend

Wed, 03/08/2023 - 12:56
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Godfrey Benjamin
XRP broadening its relevance base, as showcased in its growing price
XRP Jumps 6%, Here Are Likely Scenarios Fueling Uptrend
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With the mixed outlook in the digital currency ecosystem today, XRP has joined the list of altcoins that have decoupled from the dominating price effect of Bitcoin (BTC) in the short term. The cryptocurrency is changing hands at $0.3869, up by 6.01% at the time of writing. Effectively, XRP is now gradually clearing off the deficit it has accrued over the past week.

XRP Daily Chart
Image Source: CoinMarketCap

It is quite difficult to catch XRP in a steady uptrend owing to the current uncertainty surrounding its status as to whether it is a security or not. With the lawsuit that tangled its associated payments firm Ripple Labs Inc and the United States Securities and Exchange Commission (SEC) gradually approaching its scheduled end, the coin's strongest supporters appear to be on a buying rampage today.

The entirety of fundamentals driving up the buying interest in XRP is hinged on its growing utility as a payment token in different jurisdictions. Ripple has been inking different partnerships with other payment start-ups around the world, a move that has a positive undertone for XRP in the long run.

SEC v. Ripple: XRP's Fate to Be Decided by Trial, Crypto Lawyers Agree

The optimism surrounding XRP also hinges on the fact that should the ongoing case go against Ripple, the token would have gotten the necessary foothold in countries where its operations can proceed without being hampered.

XRP's ownership is ubiquitous

XRP's reputation is more robust than many of the emerging digital currencies around today. Besides being the sixth largest cryptocurrency atop a market capitalization of $19.6 billion dollars, it also has a wide ownership base.

In a rare revelation, the now-defunct FTX Derivatives Exchange notably owes its customers as much as $93 million worth of XRP coins, per an earlier report by U.Today. With the token now billed as the main asset to power a new smart contract push through XRP Ledger, more widespread ownership is billed to be recorded in the near term.

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About the author

Godfrey Benjamin is an experienced crypto journalist whose main goal is to educate everyone around him about the prospects of Web 3.0. His love for crypto was birthed when, as a former banker, he discovered the obvious advantages of decentralized money over traditional payments. With his vast experience covering various aspects of Web3, Godfrey's articles has been featured on, Cryptonews and Coingape, among others.