Cryptocurrencies have made their presence be felt. Bitcoin can be the popular one, but XRP is the one that provides the ultimate low price. The fact is that people mainly don’t like to do anything with the cryptocurrencies for their volatile nature. Bitcoin, for instance, has had many ups and downs since its market introduction, but XRP has been having quite an immovable sort of price.
At one point, many potential miners also thought of XRP to be an excellent alternative to the popular coins. What bitcoin and ethereum mainly have a problem with being very unpredictable nature. Ripple’s XRP has had quite a consistent price at the market since its introduction in 2012. Cryptocurrencies hardly see such behaviour where they have such stagnant pricing.
Bitcoin, for example, is only experiencing a bit of stability in 2020 after its third halving. Altcoins, on the contrary, are still struggling, making it out of the clutches of the pandemic destruction of the economy.
So what is it that is making XRP’s price unchangeable? It is as simple as surplus supply. Out of all the amount that Ripple XRP’s parent company has, only a part of it circulates in the market. A vast majority of it is still kept with the company. XRP has not faced the heat of inflation as such because of this.
Why has the company decided to hold back XRP? In a situation of a bear market where there is no mining or sale because of the negative attitude of potential buyers towards the coins, the coin holders and the company, in general, do not fall under irreparable loss. Inflation and economic downturns are not predicted that quickly. Sometimes the predictions fall in place, and sometimes they are just the opposite of what is expected.
Another factor attached to the price is that XRP has already surpassed the cryptocurrency boom. Because of this, there isn’t such a change to its structuring or business model.
There aren’t many buyers as compared to that of fiat currencies for transactions in the cryptocurrency market. Now, this stability is good news. Every other day there are XRP related good news with great deals and offers on it. But would this price remain the way it is? As they say, all good things come to an end. When cryptocurrency is a crowded market, which will be very soon as per experts, XRP will see a notable shift in its prices. A hint of which is noticed in the concurrent prices of 2020.