When the price of Bitcoin started plunging at the beginning of the year, it went pulling the crypto market with it. Perhaps among the worst hit of the coin depression was Ripple’s XRP which lost more than 90 percent against the USD.
The negative market sentiment made the coin the worst performing digital currency even as fundamental indications didn’t help it. Despite the bear market, the Ripple team continued to work on its vision of making it a global remittance service.
Among the partnerships entered into by Ripple was that with American Express and SBI, major players in their respective industries.
September to Remember for Ripple
The month of September witnesses massive losses for many coins, but for Ripple (XRP) it was a good month. The bottomed out price, technical reversal of trend and fundamental factors ensured that Ripple fortunes changed rapidly.
The company made announcements of industrial impact that made the price of XRP surge by 67 percent, making it the digital currency that made the most gains in the month.
Perhaps leading in the factors that catalyzed the Ripple bull-run was the announcement by the company CEO, Brad Garlinghouse of the expansion plans for the RippleNet. In a tweet, Garlinghouse stated,
“Every new corridor opened on RippleNet means more people have access to better global payments services. The #InternetofValue isn’t just faster payments — it will dramatically change how commerce operates – and bring many un(der)served communities into the financial community”.
Apparently, the announcement and series of partnerships Ripple went into were instrumental in the resurgence of the coin. The fear of missing out that has been a factor in the coin market no doubt is another contributory factor.
It is instructive to note that the September Ripple rally coincided with the announcements by the company executive regarding product expansion and new innovations on Ripple products.
Prior to the September 19 announcement, XRP was ranging at lower lows judging from data from Coinmarketcap. The coin which had bottomed out at $0.25 went on to trade at the range of $0.35 and $0.37.
Product Announcements Were Key Factors
XRapid, another Ripple product that is meant to create a swap channel is planned for launch in October. The announcement was made in September 17 giving momentum to the XRP market. The product was already being tested by MoneyGram and Western Union according to the release.
As has always been its tradition, Ripple announced another partnership. This time it was with PNC Bank, a US bank that has branches in several states. By the end of the week, the Ripple capitalization was $26.27 billion.
A tweet by a senior official of the company Rachael Lee in mid September stated,
“A few months back we had a look at #Ripple’s early partnerships & found a pattern which led us to believe that Ripple was strategically targeting specific corridors which aligned with d $5trillion a day Foreign Exchange market. Lets dive back in”
Was it A Pump?
There were insinuations of market manipulation as the price of Ripple surged. This made the coin value drop by 40 percent though this sentiment was not sustained. Ripple regained most of its losses.
The company is presently hosting a two-day program, “Swell by Ripple” in which president Clinton delivered the keynote address. The coin is currently trading at $0.548.