Cryptocurrency XRP has gained attention, surpassing the $2.7 mark for the first time in seven years. Several factors contributed to this movement.
Recent Price Surge of XRP
In recent months, XRP has shown significant price growth. It reached $1.9 yesterday before soaring to $2.5, the first such event since January 2018. After a brief correction, the price rose to a new local peak of $2.75.
Reasons Behind the Market Rally
The cumulative rise of over 420% in the past month was driven by several factors. Chief among them was the active purchasing behavior of large investors, which led to a significant increase in XRP's market cap, exceeding $150 billion.
Role of Major Coinbase Investors
According to data, the majority of purchases took place on the Coinbase platform, where the stock premium ranged from 3% to 13% over the month. This was related to political changes in the US and the anticipated resignation of SEC Chair Gary Gensler.
The growth of XRP, supported by major investors, highlights its significance in the crypto market. Nevertheless, investors should remain cautious amid high volatility.
