Top Reason Why XRP Price is Up Today?
In the past day, while Ether and Bitcoin remained stable, XRP has witnessed a remarkable surge, making it the best-performing major cryptocurrency. XRP traders are closely monitoring this trend, despite Ripple’s separation from the coin.
What’s Behind the Spike in XRP Price?
The surge in XRP’s performance can be attributed to enthusiasm and speculation around potential improvements in the Ripple ecosystem. Even though Ripple distanced itself from XRP, traders remain vigilant about events that could impact the token’s value.
On Monday, XRP prices rose by nearly 11%, and trading volumes increased from $1 billion to $2 billion on Sunday. XRP’s market capitalization surpassed Binance Coin (BNB), making it the fourth-largest cryptocurrency, trading at 69 cents.
This recent price surge and increased trading volumes reflect growing investor confidence in XRP’s future potential. Notably, the gains in XRP were primarily driven by spot trading rather than liquidations, indicating the responsible use of leverage.
XRP’s Growth in Dubai
While there wasn’t an obvious driver for the recent increases, it’s possible that investors responded to two positive developments for payments startup Ripple. Last week, Ripple received important permissions to operate in Georgia and Dubai.
Ripple announced that the Dubai Financial Services Authority (DFSA) has approved XRP under its virtual assets regime, allowing licensed companies in the Dubai International Financial Centre to offer XRP as part of their crypto services.
Additionally, Ripple is collaborating with the National Bank of Georgia on the Digital Lari (GEL) pilot project, utilizing its central bank digital currency (CBDC) platform. This platform has already been adopted by the governments of Taiwan and Hong Kong and supports a wide range of CBDC services, including retail and wholesale use.
XRP Ledger
Ripple has historically maintained a distance from XRP, the coin underpinning some of its products and the XRP Ledger network. Nevertheless, traders perceive a connection between the two, and developments in Ripple’s legal proceedings and licensing have a clear impact on XRP prices.
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