The main reason for the growth in demand for Ripple (XRP) in late December and early January were reports by American Express and Banco Santander about the readiness to use cryptocurrency for cross-border payments.In addition, the system of international payments on the basis of the blockade Ripple began to test the banks of Japan and South Korea. From the beginning of January, an association of the largest Japanese credit card issuing banks will work, which will explore the possibilities of using a detachment to track credit card transactions.
However, Ripple’s volatility is connected not only with positive news, but also with the probability of artificial price manipulation. There are talks that Bithumb is not able to sell Ripple at a price below a certain level on South Korea’s largest currency exchange. Orders are automatically canceled. It is important to note that this exchange has more than a quarter of the volume of trading in the сryptocurrency, so the opportunities for manipulating the exchange rate are quite real.
Of course, the main idea of the project contributed to the growth of the cryptocurrency. Ripple set out to completely eliminate SWIFT and destroy the monopoly of transnational transfers using its own XRP token. Ripple technology allows you to make transnational payments in 15 seconds, while, in the classical banking system, this operation takes three days. Obviously, at present, the speed of translation is a decisive factor.
Another factor in popularizing XRP is that this digital currency does not use blocking technology. There is no mining: the cryptocurrency is completely centralized, it is released in limited quantities and can not be devalued.
I believe that Ripple is one of the most promising cryptocurrency for the coming year. Since the сryptocurrency is going to be added to the largest US exchange Coinbase, there is a possibility that it will start Ripple growth by 500%. For example, when Bitcoin Cash was added, trades were even closed for a while due to a sharp jump in the rate.