XRP likely to extend gains by 11% as researcher says Ripple is not for retail


  • Ripple protocol is not built for retail consumers and does not govern price, according to a crypto researcher. 
  • XRP trades at $0.59 on Wednesday. 
  • XRP could extend gains by 11% and target $0.66, a key level for the altcoin. 

Ripple (XRP) trades at $0.59 at the time of writing on Wednesday, August 21. A crypto researcher is arguing that the native token of XRP Ledger is not built for retail traders and they do not govern retail price. 

Daily digest market movers: Ripple protocol not meant for retail, says researcher

  • Researcher behind the X handle @SMQEDQG says, “Ripple protocol is not built to interface with consumers and businesses and does not govern retail price”. 
  • The researcher states that the protocol allows financial institutions to pass on some of their cost savings to their end customers. 
  • KUWL researcher Rob Cunningham asks XRP traders to ignore the uncertainty and developments in his recent tweet:
  • Ripple USD-related announcements and XRP Ledger testnet reset are the two key market movers for the native token of XRPL.
  • Traders digest the final outcome of the Securities & Exchange Commission (SEC) lawsuit against Ripple, while it remains to be seen whether the US financial regulator appeals the ruling. 

Technical analysis: XRP could rally 11% to $0.66 target

XRP hovered around the key psychological level of $0.60 on Wednesday. The native token of XRP Ledger is primed for further gains and could rally 12% to $0.66. This is the 50% Fibonacci retracement level of the decline from the July 13 top of $0.9380 to the July 5 low of $0.3823. 

XRP could face resistance at the Fair Value Gap (FVG) between $0.5970 and $0.6217, however, as seen in the XRP/USDT daily chart below. 

The Relative Strength Index (RSI) reads 55.97, which is above the neutral level. 

XRP

XRP/USDT daily chart 

XRP could find support at $0.5845, the August 18 high for the altcoin. 

Ripple FAQs

Ripple is a payments company that specializes in cross-border remittance. The company does this by leveraging blockchain technology. RippleNet is a network used for payments transfer created by Ripple Labs Inc. and is open to financial institutions worldwide. The company also leverages the XRP token.

XRP is the native token of the decentralized blockchain XRPLedger. The token is used by Ripple Labs to facilitate transactions on the XRPLedger, helping financial institutions transfer value in a borderless manner. XRP therefore facilitates trustless and instant payments on the XRPLedger chain, helping financial firms save on the cost of transacting worldwide.

XRPLedger is based on a distributed ledger technology and the blockchain using XRP to power transactions. The ledger is different from other blockchains as it has a built-in inflammatory protocol that helps fight spam and distributed denial-of-service (DDOS) attacks. The XRPL is maintained by a peer-to-peer network known as the global XRP Ledger community.

XRP uses the interledger standard. This is a blockchain protocol that aids payments across different networks. For instance, XRP’s blockchain can connect the ledgers of two or more banks. This effectively removes intermediaries and the need for centralization in the system. XRP acts as the native token of the XRPLedger blockchain engineered by Jed McCaleb, Arthur Britto and David Schwartz.


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