The XRP community has been buzzing with speculation about suppressed prices and excessive selling. But amidst the flurry of theories and on-chain data, Ripple CTO David Schwartz steps into the ring to debunk claims and shed light on the XRP price puzzle.
The discussion related to XRP dumping and price suppression was ignited by Good Morning Crypto. In the course of the discussion, they cited data suggesting a three-fold increase in Ripple’s XRP sales last December, fueling the ever-burning suspicion.
Read Also: What Would Ripple Do With 40B XRP in Escrow? David Schwartz States Two Choices
Understanding Ripple’s XRP sales can be like navigating a crypto sandstorm. While they disclose releasing 1 billion XRP from escrow monthly, tracking actual sales is shrouded in blockchain’s inherent ambiguity.
Schwartz throws cold water on the “triple sale” claim, questioning the data’s source and promising transparency in Ripple’s upcoming XRP market report. He assures the community that Q4 2023’s sales won’t deviate from the established pattern.
This is inaccurate.
Not sure where you are pulling this “3X” data from, but the next XRP Markets Report (coming out in a few weeks) will again include Ripple’s aggregate holdings of XRP over the quarter. You’ll see the changes in our holdings from the beginning to the end of the…
— David "JoelKatz" Schwartz (@JoelKatz) January 10, 2024
While Ripple may not be the culprit, a community member argues that a shadowy figure lurks, keeping XRP’s price “awful.” This fuels the narrative of an external suppression campaign supposedly holding XRP back.
Schwartz tackles this directly, wielding the weapon of comparison. He presents charts illustrating XRP’s price movements alongside its rivals, Stellar (XLM) and Cardano (ADA). The similarities are striking – all three coins experienced upswings and downturns in tandem since December.
First chart is both XRP and XLM over the past month. Second chart is both XRP and Cardano over the past month. pic.twitter.com/ek769C2Agf
— David "JoelKatz" Schwartz (@JoelKatz) January 10, 2024
While the broader market fluctuations seem mirrored, XRP trails its competitors in growth. Cardano (ADA) takes the gold for December gains, soaring 58%, while XRP manages a meager 1.96%. XLM also edges ahead with a 9% increase.
Read Also: Ripple CTO David Schwartz Reveals Five Exciting Predictions for 2024
The Speculative Shadow
The price of XRP has always been heavily influenced by speculation surrounding its long-standing legal battle with the SEC. While the recent court victory provided some relief, lingering uncertainty and potential appeals could still cast a shadow on investor confidence.
This, coupled with the overall bearish sentiment in the crypto market, might be a more potent explanation for XRP’s lethargic price growth.
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— TimesTabloid (@TimesTabloid1) July 15, 2023
While retail investors dominate XRP’s trading volume, institutional adoption remains a crucial missing piece. Until major financial players embrace XRP and outstanding utilities, its price might struggle to reach its full potential. This transcends the question of Ripple’s sales and points towards the need for wider ecosystem development and market acceptance.
Therefore, attributing XRP’s price woes solely to Ripple’s sales paints an incomplete picture. While transparency from the company is crucial, a deeper analysis encompassing global market trends, regulatory uncertainty, and institutional adoption is necessary.
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