XRP Lower: Ripple, one of the most successful crypto companies when it comes to making big partnerships, has expanded its client base across the emerging market. Despite that, XRP’s price dropped below $1 on Wednesday.
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Ripple’s New Partnerships
Ripple announced on Wednesday new partnerships with five banking and money transfer institutions across India, Brazil, Singapore, and China.
These partnerships will help the institutions as well as Ripple as its other members will now be able to take advantage of its growing network.
With this, Ripple is looking to rewire financial firms with Bitcoin’s underlying technology. Expanding to the emerging markets is a great move because there are high volumes of low-value transactions.
Why is XRP Lower?
Despite the partnership announcements, why didn’t Ripple’s digital token, XRP, feel the love?
That could be because RippleNet doesn’t use XRP as of yet with the new clients. XRP would actually serve as a bridge currency and free banks from the expense and hassle of tying up money in different currencies at other banks.
But because the firms haven’t been open to adopting XRP yet, Ripple is focusing on RippleNet as it continues to develop. They will potentially start marketing XRP-based products in the future, which could be when we’ll see the real surge in XRP’s value.
XRP Lower Price Action
XRP’s price dropped below $1 on Wednesday, moving towards the 78% Fibonacci retracement level of $0.87. It remains below a very thick and bearish daily Ichimoku cloud.
The Tenkan has crossed below the Kijun line on Ichimoku Kinko Hyo‘s standard setup. The Chiko span has also crossed below the prevailing cloud. With this, we could see another test of the key support levels before a major bullish sentiment in the market.
This article was originally published on InvestDiva.com.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
