Over the past twenty-four hours, XRP has been one of the largest gainers. A well-known crypto detective has lately disclosed a key move made by Ripple, which provides some answers to the question of why the cryptocurrency token is currently at a higher price. In light of the fact that Ripple has demonstrated, up to this point, that it has XRP's best interests at heart, this disclosure also has the potential to put an end to speculation that Ripple is manipulating the price of XRP.
Ripple is rumored to have purchased around 700 million XRP back.
The crypto detective known as Mr. Huber disclosed the fact that Ripple had purchased around 700 million XRP from the open market in a post that he made on his X platform, which was once known as Twitter. As far as he is concerned, Ripple typically does this in order to maintain the stability and liquidity of the XRP markets. There is a possibility that this initiative is the reason why the price of the token has quickly increased.
XRP's price has been underperforming in recent times, and many people are speculating on the possible reasons for this underperformance. As there was no other rational explanation for the underperformance, some people just asserted that the price was controlled. This was especially true when one considers the fact that other alternative cryptocurrencies were seeing huge gains.
On the other hand, Mr. Huber offered a different reasonable explanation for this reduction, stating that it may be the case that one of Ripple's ODL clients is selling their XRP tokens on the open market. The fact that Ripple's XRP sales to ODL clients do not have an effect on the pricing of exchanges was previously reported to be the case. When these clients, in turn, begin to sell these XRP tokens to retail investors, however, it does become something that happens.
Due to the fact that Ripple was aware of the pattern of XRP sales from ODL clients, it could have purchased these XRP tokens back in order to maintain the price of XRP. It is important to point out that Mr. Huber appears to have arrived at the conclusion that a huge repurchase is necessary as a result of the decrease in the amount of XRP that is currently in circulation. He argued that Ripple's holdings are not included in the calculation of the quantity that is circulating.
In the time leading up to his disclosure of Ripple's huge repurchase, Mr. Huber had expressed worry regarding the unsettling price behavior of XRP. Following the decision announced by Judge Analisa Torres, he made the observation that the price of XRP had "literally" erased all of the gains it had achieved in comparison to the whole cryptocurrency market. The judge had decided that the cryptocurrency token did not exist in and of itself as a security.
Many people had projected that this legal clarification would assist enhance the price of XRP, and in fact, it did contribute to the price increase in the weeks that followed the verdict. Despite this, the price of XRP has been seeing a significant fall ever since those gains were posted. Many people continue to question what may be the explanation behind XRP's rather sluggish progress, which has even become a cause for concern ever since the cryptocurrency market as a whole began to show signs of improvement.
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