Ripple has fallen all the way from $ 1.10 to $ .79 currently. In the past 24 hours, it is gone from $ .85 to $ .79. It has fallen by almost 25% from the recent peak.
Reasons for the fall: Ripple
Most of the analysts peg the reason for the fall to be the current volatile phase in cryptocurrencies. Many of the cryptocurrencies are falling consistently.
Moreover, the announcement owing to which ripple had up gone turned out to be just a rumor. Coinbase did not include ripple on its platform. Instead, the announcement by Coinbase was the start of the index fund.
Also, there is increasing news about regulation from the US as well as Japan. This is one of the main reasons why Ripple, as well as other cryptocurrencies, have been consistently falling as well.
Many of the experts think that these increased rules and regulations are the reason why cryptocurrencies are falling on a consistent basis. However, at the same point in time, many of the analysts think that this is just a regular phase in volatility for the cryptocurrencies.
This is the reason why there is nothing to worry about.
Cryptocurrencies are generally much more volatile as compared to any other asset classes. This is the reason why currently as well, Ripple has lost almost 25% of its value within a week.
Moreover, many of the traders look into the volumes rather than looking into the volatility. With the volumes on the higher side, it clearly indicates that there will be pronounced price movement in either direction. This is the reason why traders often keep a watch on the volumes.
Also, the market cap of Ripple currently stands at around $ 31 billion. However, since it is signing up more and more clients, it will be able to gain more traction as well.
This is the reason why many of the analysts believe that it is just a matter of time before ripple starts increasing once again. Owing to this very reason, very few people are actually negative on ripple.
In the longer term, as banks to start using ripple, the potential and ripple will increase even more. This will lead ripple to rise further in the future. The market cap will also expand as it is currently just the 3rd most valued cryptocurrency.
This is the reason why the potential in ripple as significant as well. It is up to the investors to decide at what levels they want to invest in ripple.