Reddit boosted cryptocurrency XRP by 100%
XRP took third place in the race for the most profitable cryptocurrency. Well, it has since dropped down to the fifth place, but it enjoyed its five minutes of fame.
The cryptocurrency Ripple (aka XRP) increased above $0.58 for the first time since the 17th of December last year after the Reddit threads and groups multiplied considerably. Ripple is currently fifth in the world when it comes to profitable cryptocurrencies thanks to its market cap of more than $26 billion.
r/SatoshiStreetBets (a group from Reddit that’s crypto-centered) started showing interest in XRP. Soon after the talks in this group about the particular currency combined with the massive newly discovered demand from investors for XRP led to Ripple’s price rising quickly. What’s fascinating is that its value rocketed from $0.28 to $0.58 shockingly quickly.
This reminds us of Dogecoin (DOGE) back when the forums r/WallStreetBets and r/SatoshiStreetBets started chatting about it and its price bounced 900% in less than 24 hours. That’s when DOGE entered the top 10 cryptocurrencies and to some people, the whole thing seemed simply ridiculous.
What’s also interesting is that back in December of last year SEC initiated a lawsuit against Ripple, however, the currency has now wiped out all the damages that the action created. SEC claimed that “Ripple Labs” (as well as its two executives Chris Larsen and Bradley Garlinghouse) sold unlicensed securities in the form of XRP. After the news about this broke, XRP collapsed more than 70%. Nevertheless, the new addition of almost $13 billion in XRP’s market cap concludes that Ripple is in the same place it was before the accusation. As mentioned above, the currency received a great push from Reddit’s readers and traders. “Finance Magnates” revealed Ripple’s official reply to the charges submitted by SEC and the company shared that the US Department of Justice (DOJ) and FinCen acknowledged XRP as a virtual currency.
Brad Garlinghouse (Ripple’s CEO) tweeted: “Our defense begins today. Innovation is on trial, and we stand shoulder to shoulder with our partners & the community to defend it. Together, with appropriate regulatory oversight, we can modernize outdated laws that clearly aren’t working to protect consumers and ensure orderly markets.”
The takeaway is that cryptos are doing amazing as of this moment. Their market cap currently totals an estimated $1 trillion. Pretty fascinating, right? XRP as of this date (13, Feb 2021) sells for $0.63 enjoying a market cap of $28 billion.