XRP Lower Despite Ripple's Announcement Of New Partnerships Across Emerging Markets

XRP Lower: Ripple, one of the most successful crypto companies when it comes to making big partnerships, has expanded its client base across the emerging market. Despite that, XRP’s price dropped below $1 on Wednesday.

Ripple's New Partnerships

Ripple announced on Wednesday new partnerships with five banking and money transfer institutions across India, Brazil, Singapore, and China.

These partnerships will help the institutions as well as Ripple as its other members will now be able to take advantage of its growing network.

With this, Ripple is looking to rewire financial firms with Bitcoin’s underlying technology. Expanding to the emerging markets is a great move because there are high volumes of low-value transactions.

Why is XRP Lower?

Despite the partnership announcements, why didn’t Ripple’s digital token, XRP, feel the love?

That could be because RippleNet doesn’t use XRP as of yet with the new clients. XRP would actually serve as a bridge currency and free banks from the expense and hassle of tying up money in different currencies at other banks.

But because the firms haven’t been open to adopting XRP yet, Ripple is focusing on RippleNet as it continues to develop. They will potentially start marketing XRP-based products in the future, which could be when we’ll see the real surge in XRP’s value.

XRP Lower Price Action

XRP’s price dropped below $1 on Wednesday, moving towards the 78% Fibonacci retracement level of $0.87. It remains below a very thick and bearish daily Ichimoku cloud.

(Click on image to enlarge)

XRP Lower below Ichimoku Cloud

XRP Lower below Ichimoku Cloud

The Tenkan has crossed below the Kijun line on Ichimoku Kinko Hyo's standard setup. The Chiko span has also crossed below the prevailing cloud. With this, we could see another test of the key support levels before a major bullish sentiment in the market.

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Comments

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Danny Straus 2 years ago Member's comment

Personally I find #ripple to be one of the more interesting of the #cryptos and a bargain compared to #bitcoin.

Craig Newman 2 years ago Member's comment

I read some stuff by Gary Anderson that it was all a scam. Others say it's a bubble. Either way, investors will probably get hurt.

Ray Dar 2 years ago Member's comment

Here's a great article I found that should help explain the relationship between Ripple (the company) and XRP (the token). Thanks!

www.fool.com/.../...problem-facing-ripple-xrp.aspx

Michele Grant 2 years ago Member's comment

My greatest fear with #crytos is that all this value will be wiped out by some hack in the future. It must be the ultimate target for hackers.

Old Time Investor 2 years ago Member's comment

I am even more confused after reading that article. What is the difference between a blockchain and a bitcoin? Someone needs to send me to the very beginner basics!

Craig Richards 2 years ago Member's comment

Ugh, the Motley Fool? They are still around? That is such a crappy site. Are you the author?

Ray Dar 2 years ago Member's comment

Hi Craig, thanks for your reply! No, I am not the author of the article, I am simply trying to help newbies see both sides of the story. Many people have seens great profits from trading tokens and much more have lost their entire savings by not really understanding what they're investing into. While I understand that there exists a level of bias in the article I try to see what is beyond their personal opinion and focus mainly on the information which I can then use as a tool to better myself and my trades. Thanks and GL!

Currency Trader 2 years ago Member's comment

Yes. No real connection. If $XRP-X crashes, it woudln't affect #Ripple in the long run. I realize with so many different #cryptocurrencies flooding the market, it can be overwhelming for many.

Alexis Renault 2 years ago Member's comment

Sorry for the newbie question but what is the difference between #Ripple and #RippleNet? $XRP-X

Ray Dar 2 years ago Member's comment

Hello Alexis, Ripple is the company behind it's interledger technology which is referred to as RippleNet. RippleNet is essentially a private ledger between two parties which transmits data from one end to another at a very high rate of speed. XRP has absolutely no use to Ripple other than the fact that Ripple is using the cryptocurrency fad to obtain investments from XRP investors to grow Ripple and its backend blockchain technology. I hope that answers your question!

Doug Morris 2 years ago Member's comment

Seems like a lot of companies are getting on the crypto/blockchain bandwagon. I've read about a few though the only one I can remember is that when #Kodak jumped 200% after its announcement. $KODK

Alexis Renault 2 years ago Member's comment

Thanks Ray Dar!

Harry Goldstein 2 years ago Member's comment

Thanks for this explanation. Where can I learn more? I'm new to all this crypto craziness!

Ray Dar 2 years ago Member's comment

Hi Harry, thank you for your reply! Please scroll up and take a peek at the article that I posted. Good luck!

Harry Goldstein 2 years ago Member's comment

Thanks! Missed that.