After being hit with endless FUD, Ripple XRP seems to have stabilized at around $0.44 to $0.45. This seems to be in XRP’s advantage at the moment as its signaling to its decoupling from bitcoin and the rest of the market. It also means that XRP (XRP) has most likely hit its bottom. That’s because in a scenario where XRP (XRP) was still tied to bitcoin (BTC), it would be dropping hard at the moment, considering that it still has a huge negative cloud hanging over it. At this point chances are that the only direction XRP can go is up.
Signs of an upside push are already there, with XRP up by over 3% in the day, while most altcoins are down by over 10%. This is possibly being driven by the fact that more exchanges are now adopting XRP as a base currency. DCEX, a major exchange, recently announced that they will be adding Ripple (XRP) as a base currency for trading 15 crypto pairs. This announcement comes after a similar move by SBI exchange and Unocoin of India. As more exchanges turn to XRP (XRP) as a base currency, its liquidity will rise, and so will its long-term value. Just to give context on the value of a base currency, one just needs to look at the value of Bitcoin (BTC). While there are other factors that have propelled bitcoin to the top, including the fact it is the first crypto, its biggest value comes from being a base currency for trading altcoins. If XRP (XRP) gains a similar use-value in the market, its growth will be exponential.
Another factor that is driving up the Ripple (XRP) decoupling is its use-case in the market. XRP (XRP) has over time established itself as the best crypto for cross-border payments. So far ripple the company has established partnerships with more than 150 banks. While only a few are using XRP, it is hugely expected that the rest of them will be transitioning to XRP too. Chances are they are awaiting the SEC decision on XRP. As such, the moment the SEC declares that XRP (XRP) is not a security, the process of adoption will be fast-tracked, and each of these partnerships will start reflecting in the value of XRP (XRP). And with the recent rebranding of XRP (XRP) to differentiate it from ripple, and the introduction of non-ripple validators, investors are beginning to realize that chances of XRP (XRP) being declared a security are quite minimal.
With these factors supporting it, Ripple (XRP) is likely to continue trading independently of bitcoin (BTC). It may not grow that much before the SEC decision comes out, but once it does, XRP (XRP) could very easily outperform its December highs. XRP (XRP) got to over $3 a coin before its adoption was as high as it is today. As such, with its current high intrinsic value, thanks to partnerships and its usage as a base currency, it could very easily hit the number one spot on coin market cap.