Ripple tanks after Coinbase squashes rumors

When it comes to Ripple, the rallies are stronger and the breakdowns are even stronger. The same is happening currently. In the last 24 hours, it had risen by almost 15% on the rumors that Coinbase will add a Ripple to its trading platform. However, the rumors were officially quashed by Coinbase.

At one point in time, Ripple had raised even around $ 1.10. Since then, it is slumping. Currently, it is trading around $ .90. It has been trading around these levels for the past one month almost.

Ripple provides cross-border payment solutions to a wide variety of banks as well as other corporates. In order to initiate the payments, the platform uses the ripple cryptocurrency. This is the reason why this cryptocurrency holds such a lot of promise as well. Also, since it promises almost instantaneous payments, it is not like any other cryptocurrency platform.

Coinbase denies rumors:

Coinbase through its Twitter account clearly denied the rumors. It clearly stated that it does not plan on adding any other cryptocurrency to its cryptocurrency trading platform for the time being. Ever since the news came out, Ripple has been consistently falling as well.
If you look into the performance of Ripple from the start of this year, it is down by almost 60%. This is the reason why it is one of the most underperforming cryptocurrency currently.

Owing to the fact that it is not listed on some of the most popular cryptocurrency exchanges, it is very hard to buy ripple. Only a selected few cryptocurrency exchanges allow you to invest in Ripple. If indeed, it is added by Coinbase or any other cryptocurrency platform, the liquidity in ripple will increase significantly. The investor base will be able to invest in Ripple will also increase significantly. This will be a used trigger for the cryptocurrency.

Moreover, with newer investors coming in, the value of the cryptocurrency will increase along with the increasing demand. This was one of the main reasons why it was increasing on rumors of inclusion by Coinbase. However, now that those rumors are out of the way, it is trading closer to its support zones. It has given up all of the gains of the last 24 hours. This is one of the main reasons why irrespective of the price movement in some of the other cryptocurrencies, Ripple has continuously fallen in the last 24 hours. It remains to be seen what is the bottom which it will create and whether it is able to rise quickly again from that support or whether it lingers around those levels for a long period of time.

David is passionate about learning cryptography, tech and the Internet. He has years of experience working at international investment projects. Growing interested in Blockchain and cryptocurrencies in late 2015, he joined Smartereum as an editor.

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