The 30% Rally
XRP’s price has been trading in the very tight range of [$0.22-$0.265] for 60 days straight. On a quiet Saturday, it’s price suddenly surged by well over +30%, helping its price cross the $0.40 mark. The last time XRP traded at $0.40 was in July 2019, over a year ago.
The crypto asset class as a whole witnessed an awakening after the pandemic announcement on March 12th 2020 (Black Thursday). The main reason behind it is macro-based. The initial market reaction was a severe crash, that caused the Federal Reserve to begin unprecedented printing of new USD to the tune of Trillions.
As a result, investors whom were dismissive of Bitcoin were forced to take a second look to protect themselves against incoming inflation. A fixed supply schedule with no human discretionary decisions became very valuable in the eyes of many.
This created a wave of institutional capital flowing into the crypto market, more specifically Bitcoin. That was later followed by a massive surge in Bitcoin’s price bringing it $1,000 away from it’s all-time high. This resurgence in Bitcoin interest then propagated into the rest of the market from other retail investors, as they woke up to the fact that the next bull-run may have begun.