From the wallet Escrow di Ripple, which belongs to the company that manages the related blockchain and cryptocurrency, have been unlocked in the past few hours, in two consecutive transactions, 1,000,000,000 on XRP.
The news is important, both for the price of XRP on the market, which in fact in the past few hours has slightly corrected the progression of the last few days, both for those who want to understand the basic difference between systems like Ripple and the more horizontal ones.
Yes it can be done trading even on news of this type. Maybe aiming downwards with the brokers that allow us to sell short, assuming that this news has not already been widely discounted by the markets. eToro (go here for a free virtual account) allows you to trade in both directions and also provides the CopyTrading – to copy those who operate most successfully on the market. And we will also be able, always through the same service, to sift through their wallets, as well as to do crypto-staking in an extremely simplified way.
What happened? What was unlocked? What does this mean for the Ripple market?
They have been transferred Ripple in large quantities from a wallet which belongs to the company that manages the token and the related blockchain, in two operations, each for a value of 500.0000.000 in tokens.
Important sums, which at the current exchange rate are worth more 1.5 billion dollars. Operation that has not been announced and the reasons for which there is much debate on the net.
- What does this mean for those who invest?
It means there will be more XRPs on the markets. The tokens of this blockchain were pass away and they are largely in the hands of Ripple Labs, which is the company that controls the entire system and guarantees its technological and commercial development.
This is a situation that has always attracted criticism from purists, to whom in reality today must be recognized, at least in part, of the merit. Ripple is effectively a highly centralized system, where a substantial part of the supply it is in the hands of whoever controls the system. It can also carry out operations of this type, without the need for justification, potentially altering the market equilibrium.
- But be careful: they could often return to the wallet
It should also be noted that over the years Ripple has often removed tokens from its wallet to re-enter them shortly after. Ripple Labs effectively operates as a central bank, trying to keep the price of XRP under control.
Which hasn’t always been successful – just look at the volatility of the token in recent weeks (even if for external causes). But the fact that it can move without being accountable to anyone is a cause for concern for many cryptocurrency enthusiasts.
What will happen to the price of XRP in the next trading hours and days?
We do not believe that the move, however substantial, will have a significant impact on the next trading days. The markets have already largely discounted the deal – and ours forecasts on Ripple are fully confirmed.
This is not the kind of event that, particularly over the long and very long term, will have repercussions on the price of XRP. Which remains, on horizons of this type, strongly bullish.
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