Ripple started the year very promising rising over 100 percent. It hanged around $1.7 to $2.5 but followed the steps of Bitcoin to reach $0.89 recently. Today, ripples have overtaken Bitcoin cash to become the third largest cryptocurrency behind Bitcoin and Etherium.
Ripple was in the third position at the beginning of September in market caps but lost the position.
This has given the newbies a lot of advantages and opportunities to invest in them massively comparing its price to the leading cryptocurrencies.
Ripple’s price is below 1$ and has the potential of rising in the future with its early signs.
Bitcoin cash has a market cap of $1.4 billion whiles ripple has a market cap of $4.7 billion. The price of Bitcoin cash hit its all-time high yesterday with a price of $2080 but has declined by 5 percent today.
Why Ripples Is Ripping Off the Others
Ripples have an average daily payment transaction of $500 Mio. The higher rise in price has been attributed to its popularity in Asia with several multinational banks using it as a payment network. In fact, it has been estimated that 44% of its trading volume is influenced by Asian exchanges. A lot of Asian investors are into ripples influencing its price to rise extremely.
Ripples have been predicted to hit its highest in the coming years considering its current development. It has jumped 7000 percent in price and 7700 percent in market cap. It recently entered a deal with over 100 banks including America express and Michael Arrington’s $100 million cryptocurrency hedge Fund.
A lot of companies are expected to come on board making it one of the potential cryptocurrencies.
South Korea exchanges increased the Ripples price by 71 percent, making them one of the countries that determine its future. Takashi Okita, the CEO of SBI ripple Asia, recognized the future of ripples on the South Korean market. “South Korea is one of the most active markets worldwide when it comes to blockchain innovation and trading of digital assets,” he said. “With trade flows into and out of the country totaling $960 billion every year, we also see a high end growing demand for Ripple’s frictionless payments solution in the country,” he added.
Ripple Is Appealing To the Banks
Ripple was basically created to serve a bank purpose rather than investment, and in the light of this has called several banks across the world to partner it. Brad Garlinghouse, the CEO of ripples explained why the cryptocurrency has appealed to banks. “The liquidity needs of banks today is managed with literally ten trillion of a float that sits in these nostro and Vostro accounts,” said Brad. “We believe very strongly this is an inefficient model. You can use digital assets to fund liquidity, and Ripple is uniquely positioned to capitalize on that. Bitcoin takes four hours to settle a transaction. XRP takes 3.6 seconds,” he added.
Ripple is very fast, secure and not expensive, hence it fits perfectly for bank transactions. Banks such as Credit Agricole, Currencies Direct, RAKBANK and TransferGo use the ripple transactions.
According to Dharmesh Desai, group EVP at the bank, funds takes about 3 days to reach India when transacted from some selected countries. This has made banks in India to work with ripples for the inbound remittances from North America, Middle East, and the UK.
Ripples have a lot of advantages than most of the other cryptocurrencies making banks to make use of it. This ends up pushing the price higher.
Ripples, a Currency for the Future
Ripples have set to overcome the famous cryptocurrencies in the coming years. Ripple was created not with the intent to compete Bitcoin but to compliment it. It is likely that it will overcome Bitcoin at the rate of price fluctuation. The rise of Bitcoin was labeled as bubble, but the bubble talk has been marked as a cheap talk.
It is set apart from the other currencies with its scalability, speed, and stability. It has the ability to process at least 1,500 per second within 24 hours. Pundits have predicted its price to hit $5 dollars soon whiles others are even calling on $20. Its nature has called for several investors and the market cap will likely overtake the others.
It is likely that Bitcoin cash will also overtake ripples in the near future, but time will decide the race winner.