XRP price holds up well against Bitcoin, what’s behind it
The cryptocurrency market, which has turned quite green in recent days, is experiencing another drop across the board. As most cryptocurrencies are down 2% or more against bitcoin, XRP is holding its ground.
While XRP is down only 0.5% against the dollar, it is holding steady against BTC, trading in excess of 1.5% to 3%. Being up more than 50% against Bitcoin over the past three weeks, the XRP price is currently at summer 2021 levels.
What could be behind this?
There could be several reasons for this XRP price action. The main reason is, of course, the impending refusal of the legal battle between the SEC and Ripple, where the regulator is seeking to recognize XRP as a security. Looking at the recent significant developments in the matter, it seems that the ropes are now in favor of XRP and Ripple, but it will still have to wait for the full end.
The second, albeit less obvious, reason may be today’s news regarding SWIFT and its CBDC experiments. SWIFT conducted successful tests using different technologies with CBDC. The trials involved French and German central banks as well as commercial banks. They considered how CBDC could be used internationally and even converted into fiat if necessary.
Given Ripple’s extensive expertise, especially in digital currency technologies using XRP in its cross-border operations, as well as the company’s involvement in the Digital Dollar Initiative, such news in the same area is beneficial for investment valuation.
