Wednesday, February 24, 2021
No Result
View All Result
CONTACT
First Crypto News
  • News
  • Bitcoin
  • Ethereum
  • Industry
  • Market Updates
  • Price
  • Coins
  • Press Release
  • News
  • Bitcoin
  • Ethereum
  • Industry
  • Market Updates
  • Price
  • Coins
  • Press Release
No Result
View All Result
First Crypto News
No Result
View All Result

Crypto Analyst Claims XRP Has ‘Real Utility’ Unlike Bitcoin, But It’s Wildly Undervalued

by firstcryptonews
January 8, 2020
in Industry
Crypto Analyst Claims XRP Has ‘Real Utility’ Unlike Bitcoin, But It’s Wildly Undervalued

XRP’s main use case is serving as a bridge currency for cross-border remittances through Ripple’s ODL. XRP has facilitated fast and secure transactions for large companies like MoneyGram, putting crypto on the map. Owing to this, one analyst believes XRP has true utility and is unfortunately unfairly priced due to its correlation to the OG cryptocurrency, bitcoin. Regarding bitcoin, the analyst opined that it risks collapsing due to the lack of true utility.

XRP’s Correlation With Bitcoin Makes It Undervalued
Crypto analyst going by the online alias Magic is convinced that XRP – which bolsters the On-Demand Liquidity product that facilitates international payments – is hugely undervalued. Ripple, with Brad Garlinghouse at its helm, is now a 10 billion-dollar company.

Most recently, the company promised to drastically reduce its quarterly sales after serious concerns were raised regarding these sales suppressing the price of XRP. This was seen as a huge step in the right direction by XRP investors who had long been vexed about the token’s dismal performance.

However, just like most altcoins, XRP’s movement is largely dictated by bitcoin. Magic explained in a tweet that this correlation with bitcoin, an “asset that has no real utility”, drags down the price of XRP.

Sans Real Utility, Bitcoin (BTC) Is Bound To Tumble
It is fair to say that bitcoin birthed the $196 billion dollar crypto industry. However, according to Magic, the top crypto lacks any real utility. He does not stop there. He then says that the 2017 crypto euphoria when bitcoin skyrocketed to $20,000 was driven by sheer speculation and the asset needs to find a real utility to avoid collapsing.

Magic observed that lack of utility can set off a domino effect of other negative reactions like the fall in demand and without demand, bitcoin’s fair value could subsequently be lower.

Not all Twitter users agree with Magic. One user noted that bitcoin cannot be categorized as a utility coin like XRP but is a successful store of value that helps investors hedge against irresponsible dovish policies, quantitative easing, and the likes.

Meanwhile, XRP Hasn’t Fared So Well
In 2019, Ripple bagged countless partnerships with banks and payments companies in a bid to expand XRP’s use case. This extensive adoption, however, only paints half the picture. Over the same period, XRP was one of the worst-performing assets with over 40 percent losses on a yearly basis. XRP is also down from its Jan 2018 all-time high by nearly 95 percent. In 2018, XRP’s market capitalization climbed to as high as $120 billion. Now it is hovering around $8.41 billion.

Nonetheless, in this new year, there is reason to believe that Ripple’s XRP could recover and finally reward its dedicated holders. Meanwhile, Ripple continues to be in the sought-after position of being a global leader in international remittances.

Related Posts

Twitter CEO Jack Dorsey extends Bitcoin emoji until the year 3000

Twitter CEO Jack Dorsey extends Bitcoin emoji until the year 3000

by firstcryptonews
January 6, 2021
0

Jack Dorsey, the CEO of Twitter, officially confirmed on Twitter that the platform has extended the Bitcoin emoji until the...

Why XRP dropped 24% in 2 hours after a massive relief rally

Why XRP dropped 24% in 2 hours after a massive relief rally

by firstcryptonews
December 26, 2020
0

The XRP price has declined by 24% in the past hour on Binance after Bitstamp released its statement. In light...

Bitcoin dominance back to 2019 levels as institutions fill their bags

Bitcoin dominance back to 2019 levels as institutions fill their bags

by firstcryptonews
December 25, 2020
0

The world’s pioneer cryptocurrency has bounced back to glory after the DeFi summer stole much of the limelight. Bitcoin’s dominance...

IOHK’s new KEVM devnet opens up Cardano for Ethereum developers

IOHK’s new KEVM devnet opens up Cardano for Ethereum developers

by firstcryptonews
December 23, 2020
0

IOHK announced that Solidity, a programming language for writing smart contracts on Ethereum, is now compatible with the Cardano blockchain...

No Bitcoin Manipulation: Analyst Defends 2020 Price Surge of 57%

CME Bitcoin Futures open interest hits ATH

by firstcryptonews
December 23, 2020
0

Bitcoin’s price has grown 228% year-to-date and has managed to register a new ATH at $23,777. The common thought behind...

Ex-KFC Worker Busted for Building Bitcoin-Aided Crime Enterprise

Sovryn Brings DeFi Bitcoin to RSK

by firstcryptonews
December 23, 2020
0

During the last months, DeFi Bitcoin (BTC) tokens have been offering services on top of the Ethereum (ETH) network. However,...

Next Post
Analysts See Bitcoin Price Going Higher As It Breaks above $7,500

Analysts See Bitcoin Price Going Higher As It Breaks above $7,500

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

Bitcoin’s Daily Active Addresses Continues to Grow; Is this a Clear Bullish Indicator?

Bitcoin’s Daily Active Addresses Continues to Grow; Is this a Clear Bullish Indicator?

9 months ago
Musk’s Doge, Bitcoin Tweets May Spur Double-Digit Returns

Musk’s Doge, Bitcoin Tweets May Spur Double-Digit Returns

3 weeks ago
UCA COIN

UCACoin- A cryptocurrency with high stability.

8 months ago
Western Union Makes An Offer To Purchase Ripple-Partnered MoneyGram

Western Union Makes An Offer To Purchase Ripple-Partnered MoneyGram

9 months ago
Tom Lee Says Bitcoin Will Skyrocket This Weekend As Fed Cuts Interest Rates

Tom Lee Says Bitcoin Will Skyrocket This Weekend As Fed Cuts Interest Rates

2 years ago
Another Crypto Pop Pushes Bitcoin Close to USD 9,000, Altcoins Rally

Another Crypto Pop Pushes Bitcoin Close to USD 9,000, Altcoins Rally

2 years ago

First Crypto News

First Crypto News

First Crypto News is the Fastest Crypto News Portal. We Bring the Best and We Bring it Fast.

Bitcoin

This publicly listed company just bought $2 million worth of Bitcoin for its treasury

This publicly listed company just bought $2 million worth of Bitcoin for its treasury

December 30, 2020

Recent News

Musk’s Doge, Bitcoin Tweets May Spur Double-Digit Returns

Musk’s Doge, Bitcoin Tweets May Spur Double-Digit Returns

February 6, 2021

Press Release

quiverx

QuiverX: Black Label

February 13, 2021

© 2020 First Crypto News

No Result
View All Result
  • Home
  • World
  • Science
  • Tech

© 2020 First Crypto News