Operators recently reviewed the trend of the native token of the Ripple network, XRP, and found that it could reach very low levels in the coming weeks. According to Binance’s contract specifications, the liquidation fee for XRP/USDT will be 0.5%, and the minimum granularity is 0.1 contract units.
This fact, coupled with the apparent inability of positive news involving Ripple to positively affect the XRP has concerned investors. However, after the news that Binance will offer perpetual XRP contracts, the future looks bright.
The Born2Invest mobile application is bringing the latest crypto, and business news from trusted sources to a single screen so you can stay on top of the market. The application is aggregating the most important and breaking news from relevant websites, the list is always revised and updated with new resources.
New developments for XRP
On January 6, Binance announced the launch of the XRP perpetual contract, with a 75x leverage. The Exchange already offers futures contract options for Bitcoin, Bitcoin Cash, and Ethereum.
Bitcoin, Bitcoin Cash, and Ethereum also match Tether, a stable coin matched to the dollar value issued by the company of the same name. The Binance futures trading platform was launched in September 2019 and in four months it has already made several options available to its users.
In comments on the Twitter post, users said that this would “destroy the XRP” and “destroy its value”. In fact, what happened was just the opposite.
Mass announcement appreciation
Since December 17, 2019, the XRP has been unable to resume its position in the $0.20 zone, always closing in. However, after the announcement and according to the time of writing, Ripple’s native token appreciated by 9.89%, to $0.214771.
In the one-hour graph, the appreciation became clear a few minutes after the announcement. The announcement breaks the trend that XRP has been following and prevents cryptocurrency from testing the low support points predicted by the graphic indicators. It remains to be seen if Ripple’s native token will be able to maintain the appreciation longer by fitting it for recovery.
While XRP doesn’t exactly operate like other cryptocurrencies this trend is interesting. It demonstrates that while Bitcoin is certainly the most successful asset class in the cryptocurrency world Ripple, and other high-quality altcoins, may be able to survive the looming crypto crash.
Crypto traders have been increasingly consolidating their assets into Bitcoin and a number of previously successful projects have begun to flounder under a tightening market and renewed scrutiny. 2020 is expected to bring renewed scrutiny to the cryptocurrency market, especially as institutional investors and big corporate players have made tentative steps to embrace cryptocurrency technology.
We should fully expect to see a major contraction in the altcoin segment of the crypto market over the course of the next year. The major exceptions are either coins like Ethereum with a very strong backing or coins that are already heavily linked in the corporate world, like XRP. The value of Ripple doesn’t have any particular bearing on its viability and so long as the currency can be utilized by corporate clients the project is likely to continue to grow and thrive, even if XRP speculators continue to experience woes.
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in CRIPTOPASION, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.
10 Important Reasons to Update Your Business Website
Many business owners don’t realize the importance of updating their websites. Take your stale, tired, and clunky website to an...
Three Applications Putting Augmented Reality in the Hands of Real Users
Augmented Reality (AR) is an exciting technology, especially now that we’re reaching an age where viable smartglasses are finally coming...
The State of Social Security: A Breakdown of the 2021 OASDI Trustees Report
The difficulties surrounding Social Security have not changed. It’s simply an equation of inflows and outflows. The glaring reality is that in...
Why the Number of Hedge Funds Active on the Crypto Market is Increasing
According to Francesco Filia, CEO of Fasanara Capital, cryptocurrencies often boost the performance potential of traditional hedge funds due to...
Hamburg-Based Neobank Tomorrow Raises €14 Million
So far, Tomorrow has lagged behind its own goals in some respects. In the past, an interim target of 1...
Crypto2 weeks ago
Cardano Share Price Breaks Through $3 Mark After the Launch of Alonzo Test Net
Business2 weeks ago
Using SEO to Inform Your Website Content Strategy
Business2 weeks ago
Five Things Small Entrepreneurs Need to Know to Develop a Great Shopping App
Featured2 weeks ago
How Climate Change is Affecting Stock Markets and the Global Economy