TL;DR
XRP rose by 6% to $0.57 following the launch of the Grayscale XRP Trust.
Analysts are optimistic about a potential bull run, fueled by the new trust and legal developments.
Outperforming BTC and ETH
The cryptocurrency market has experienced little to no volatility in the past 24 hours, with Bitcoin (BTC) trading around $58K and Ethereum (ETH) standing above $3,300. Other high-ranked assets, such as Binance Coin (BNB) and Solana (SOL), are also moving sideways, but there is one exception, and its name is XRP.
The price of Ripple’s native token is worth approximately $0.57 (per GoinGecko’s data), representing a 6% daily increase. It remains the seventh-largest cryptocurrency; however, its market capitalization has jumped by more than $2 billion in a matter of a day, currently set at over $32 billion.
XRP Price, Source: CoinGecko
The main factor triggering XRP’s resurgence was Grayscale’s launch of a dedicated Ripple Trust. The product allows investors to gain direct exposure to the cryptocurrency without the need to directly purchase, store, or manage it.
“We believe Grayscale XRP Trust gives investors exposure to a protocol with an important real-world use case. By facilitating cross-border payments that take just seconds to complete, XRP has the potential to transform the legacy financial infrastructure,” Grayscale’s Head of Product & Research, Rayhaneh Sharif-Askary, commented.
The world’s largest digital asset manager offers multiple similar products with other leading cryptocurrencies as underlying assets. Examples are Grayscale Bitcoin Trust (GBTC), Grayscale Ethereum Trust (ETHE), Grayscale Litecoin Trust (LTCN), and more.
Further Rally Incoming?
The aforementioned development generated huge excitement across the XRP community, with numerous analysts claiming this could be the starting point for a bull run.
X user CryptoMutant thinks the launch of the investment vehicle has brought old targets back, envisioning $1 as a doable goal.
Crypto Assets Guy was optimistic, too, arguing that Grayscale’s movement could be “paving the way” for a potential XRP ETF. They also believe that RLUSD (Ripple’s upcoming stablecoin pegged to the American dollar) “will bring massive liquidity,” whereas the Ripple v. SEC “is finally over.”
It is worth noting that the lawsuit reached a major milestone in August when Judge Torres ordered Ripple to pay a $125 million fine (a 94% deduction of the SEC’s initial request for $2 billion) for violating certain securities laws. Nonetheless, the parties have until early October to appeal the decision, as the regulator seems more likely to do so.
The post Why is the Ripple (XRP) Price Up Today? appeared first on CryptoPotato.
