Ripple and XRP are subject to controversial debate. The centralized distribution of the XRP tokens, which are to over 50% in the case of Ripple, to fire up this topic again and again. The majority of the XRP is held in a Ripple-initiated Escrow account (escrow) to be released on a monthly basis a pre-defined amount. These XRP can use Ripple for sales, to cover costs and profits to enter or directly in other companies to invest. On 1 December, just in time for the first Advent was released back 1 billion of XRP from the Escrow. What is the impact of these sales and investments actually on the XRP price, and how the XRP investors?
Ripple sales and Investments – the impact on the price?
XRP is probably one of the worst Investments in the year 2019. At least if we look at the Top 20. The Ripple price has fallen since the beginning of 2019 until today to almost 40%. Although it is daily spoken again and again that the outbreak could be short before but until now it remained only in the case of a lot of hope. The monthly 1 billion XRP, the Ripple theoretically available, come at a time where it is so good to have the XRP price.
🔓 🔓 🔓 🔓 🔓 🔓 🔓 🔓 🔓 🔓 1,000,000,000 #XRP (225,092,032 USD) unlocked from escrow at Ripple Escrow walletTx: https://cryptomonday.de/?r=https%3A%2F%2Ft.co%2FmnDgiG81ln— Whale Alert (@whale_alert) December 1, 2019
Although Ripple is certainly only a part of the Coins for their own purposes come benefit, but nevertheless, on a monthly basis, more and more XRP in circulation. The increasing criticism from the Community, that Ripple effect of increased price pressure on the XRP price, has not gone to the organization in the past. The company has taken in the last quarterly report and the waves tried to smooth out a bit. One of the promises is that in the future less will be sold, and only so much can tolerate the market.Most of the sales outside the exchanges instead of OTC (over the counter). Apparently for the majority of investors realize that these sales have no influence on the Ripple exchange. But if we keep track of these sales, we can also come to a different Conclusion. The companies or individuals who buy XRP from Ripple OTC at a fixed price, these will repel at some point. Although Ripple does not speak of certain agreements between the buyers, so that they do not prevent the XRP on the market, but you can do it. Thus, these Coins will eventually end up on the market and provide an additional offer.Also the XRP investments in other projects end up on the market. The Start-Ups have to Finance themselves and, accordingly, their XRP at some point sell. Of course, this does not take place on the push of a button, but rather in regular intervals. Therefore, is not to be assumed by a sudden Ripple rate Dump.
The big loser in USD and BTC
The sometimes fanatical XRP investors see in each small drop, a new Chance “cheap” to buy. Therefore, it is almost a call a week in the new soil, and a purchase of XRP. Again and again the Argument is used that the XRP price was already at USD 3.40, and he is valued currently at. In addition, we are currently very far from such a course in the way that XRP is also in ratio to BTC, far below its Peak. The Chart clearly shows us how the relationship between XRP and BTC actually.
The opportunity cost of holding $XRP throughout 2019, hoping for insane targets brought to you by some crazy XRP maxis is nasty.
Don’t get blinded by those silly predictions and wake up. pic.twitter.com/TrefFovoBZ— The Crypto Monk ⛩ (@thecryptomonk) November 30, 2019
The dependence of Bitcoin is not to be dismissed out of Hand. Although some speculate that will resolve this dependency at some point, but there is not a single proof. It actually happens exactly the opposite. Bitcoin has shown to 2019 regained his strength and market dominance back ripped. There’s seemingly good news can not change the situation. XRP remains in 2019, the worst Investment of the major crypto-projects.Ripple with up to 50x trade and sign up bonus secure. Sign up today for free on Bybit, and secure you a Deposit bonus of up to $ 60 USD. Here you can not only rising, but also falling share prices. The registration takes 5 minutes and there is no KYC needs to be carried out. Most Bybit today and see for yourself! Sign up now for free
ODL brings with it the reversal of the trend for XRP?
The only bringer of salvation to be the On-Demand Liquidity (ODL) payment solution. This is the only payment solution from Ripple, the needed XRP. XRP acts as a bridge currency, to switch between different currencies. The least questioning of the actual expiry of this payment solution and does not deal with the fundamental questions. How will it get to a price increase, if XRP is only used as a bridge currency? A bridge currency, it should have the property provide a degree of stability so that the exchange of XRP no losses. In addition, the same amount is bought on the one hand, and on the other side sold. So a zero-sum game.Thus, large payments can be processed, do not need to XRP is not only higher liquidity, but also rise in price. But who should lead the price to some astronomical heights? On this question, there are no well-founded answer. Because banks and payment service providers will not buy the Coins certainly above the usual market price. Thus, the only hope for new investors to buy, such as 2017 and 2018 XRP through stock exchanges is located. We need but currently not expected.It is also interesting that Ripple is investing in the company, the new Use-Cases for XRP want to explore. It is currently applicable for every imaginable Use-Case is trying to the XRP Ledger, so that the dependence of ODL drops. Maybe Ripple itself has noted that ODL is not increase the best solution for a course. You can want the values as you, but it seems to be trying to Bend and Break to attract new investors for XRP.
Bitcoin could cost help with opportunity
But the market has changed in the last 2 years. New investors will come only slowly, and the interest is focused on Bitcoin. This is, of course, the market dominance of Bitcoin and the associated dependence of all the other Kryptos. Bitcoin is a risk investment, and thus, all of the other crypto-currencies are subject to a higher risk. Currently, there is only one way that the XRP price will rise in USD – Bitcoin. When BTC picks up, lose a lot of Altcoins relative to BTC but can still increase the price for the use of and in USD a few percent as well.There is currently no logical reason to hold XRP, except if you want to support Ripple disinterested. The only big winner of the XRP price rise is still a Ripple. As long as the Ripple rate is above $ 0.00, the company makes profits. That is the Problem when you generate Coins without any work (premine), and for the most part, a single party passes. These critical questions if any XRP Investor and also with the concept of opportunity cost deal. Because while XRP is stagnant, can Bitcoin and other projects to keep “stable”, and even profits. There is no reason to put up a fight against a risky Investment to a fraction of the portfolio but everything on XRP carries with it enormous dangers.It remains to be seen what the next quarterly report of the Ripple for information to the fore. One can assume that Ripple can continue to make huge profits with the sale of XRP. We are all looking forward to the latest report and will summarize for you, as usual, all the important information together.How is the XRP price? Is Ripple limit its sales?Come in to our Telegram Chat and talk with the experts and the Community. Subscribe to our News channel to not miss any News.You watch better Videos than read articles? Then have a look on our Youtube channel in the past. (Image Source: Shutterstock)