XRP Goes Vertical with 14% Price Pump on Moneygram News
- The XRP price climbed 14%, making it the second-highest gainer in the market cap top hundred.
- The unexpected surge coincided with a healthy yearly report, and the news that Ripple investment Moneygram achieved record transaction growth.
- XRP coin price returns to early December levels.
Editor’s note (01/08/2020): The article has been updated for clarity.
The XRP price jumped 14% on Monday, coinciding with the news that Moneygram had just achieved record online transaction growth.
Moneygram’s 70% year-on-year growth over Christmas came just weeks after Ripple finalized a $50 million investment in the payments platform.
Ripple CEO Brad Garlinghouse said Moneygram’s use of the firm’s On Demand Liquidity (ODL, previously named xRapid) would be accelerated in the wake of the investment.
Moneygram – Success by Association?
Moneygram’s non-US growth was even higher in 2019, with a 120% increase in transactions internationally. Mobile devices were used in 80% of transactions overall.
While no details have emerged regarding Moneygram’s utilization of ODL, the association may have been enough to sway the day’s trades in XRP’s favour.
XRP was the second highest gainer in the market cap top hundred on Monday. The coin price surged throughout the afternoon, climbing from $0.195298 up to $0.223832.
That put XRP on a three-week high, returning to a price point not witnessed since Dec. 11.
Trade volume doubled on the day according to CoinMarketCap, which recorded an increase from $1.1 billion to $2.2 billion.
For a more conservative estimate that excludes wash-trading figures, Nomics.com records $231 million worth of trades on Jan. 6. That marked a 127% increase from the start of the day.
Glowing Yearly Report Boosts XRP Price?
In addition to the possible Moneygram connection, the 2019 XRP yearly report was released on Jan 6. Despite a 50% drop in USD value over 2019 (and 75% in BTC terms), XRP speculators had reasons to be cheerful.
The report details the wealth of networking, on-boarding and partnerships carried out by the Ripple team over the past year. The XRP coin found listings on 81 new exchanges. Meanwhile, 38 new banks and payment processors became members of Ripple’s RippleNet.
A lasting point of contention among cryptocurrency observers is Ripple’s continuous over-the-counter sale of XRP. The report notes that sales for 2019 are on course to eclipse 2018’s. Coin sales in Q1 and Q2 of this year exceeded the average quarterly sales figure for the whole of 2019, marking a notable increase in sales despite a falling coin price.
This article was edited by Sam Bourgi.
Last modified: January 8, 2020 11:06 AM UTC