Cryptocurrency

Ripple CEO: XRP Success Can Only Be Sustained By Real-World Utility

The cryptocurrency market is experiencing a period of significant growth, with Bitcoin reaching new highs and altcoins like XRP attracting increased investor interest. Amid the crypto boom, Brad Garlinghouse, the CEO of XRP’s parent company Ripple, recently emphasized the importance of real-world applications for cryptocurrencies to achieve sustainable success.

XRP Soars on Utility and Market Momentum

XRP has emerged as a standout performer within the top 10 cryptocurrencies by market capitalization. In under 24 hours, XRP’s value surged by almost 20%, propelling it past the $0.74 mark and positioning it as one of the top-performing assets in this category.

This growth is accompanied by a substantial increase in trading volume, which has surged 249.19% over the past 24 hours to over $7.5 billion. The heightened investor interest in XRP is further evidenced by a rise in derivatives trading activity, suggesting that market participants see significant growth potential for the token.

Read Also: Here Is Likely Timeline For XRP Spot ETF

Bitcoin ETFs Fuel Market Optimism

Eric Balchunas, a crypto analyst at Bloomberg, has highlighted the remarkable growth of Bitcoin exchange-traded funds (ETFs) as another key indicator of the positive sentiment driving the cryptocurrency market. Launched just two months ago, Bitcoin ETFs have garnered exceptional success.

Total assets under management have reached a staggering $55 billion, while trading volume has climbed to a phenomenal $110 billion. This rapid growth mirrors the impressive performance of Bitcoin itself, which continues to record new all-time highs in recent days.

XRP and Real-World Utility

Garlinghouse’s focus on real-world utility resonates with a growing sentiment within the cryptocurrency community. While market speculation and investor confidence play crucial roles in price movements, the true potential of cryptocurrencies lies in their ability to solve real-world problems.

Garlinghouse wrote on X, “As someone who has experienced multiple cycles of “crypto is back” it’s imperative this bullishness go hand in hand with real-world utility. That’s the real (and inevitable) march of progress.”

Read Also: Machine Learning Algorithms Set XRP Price for January 31

XRP’s core strength lies in its ability to facilitate cross-border payments. This functionality has garnered significant adoption by financial institutions worldwide, making XRP a valuable tool for streamlining international transactions. This focus on practical applications distinguishes XRP from other cryptocurrencies that may primarily rely on speculative trading for their value.

The success of Bitcoin and Bitcoin ETFs shows the growing mainstream acceptance of cryptocurrencies. As the market matures, investors seeking long-term value will likely prioritize assets with demonstrable utility, while short-term price movements may still be influenced by broader market sentiment.


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Tobi Loba

Tobi Loba is a passionate writer with a vast interest in the stock market. She joined the crypto ecosystem about three years ago and has written lots of ebooks and articles in relation to cryptocurrency and blockchain projects. Tobi Loba earned her degree at the University of Ibadan.

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