The ripple (XRP) bull run appears to have come to an abrupt end after last week's 100% price rise as hard-bitten investors look to recoup their losses from earlier in the year.
Ripple and cryptocurrency investors last week piled into XRP after it was revealed the company behind the tradable token revealed it's close to launching a new product that could help banks speed up transactions using XRP.
Now the ripple price has slumped by some 15% over the last 24 hours, taking it down from its peak of $0.66 on Friday last week to $0.46 today. The ripple price surged to more than $3 last year, up from just $0.006 it began the year at.
This week's price falls from last Friday's highs don't appear to be down to any fresh news but rather on investors taking profits from that spike. Ripple is down some 88% so far this year, leaving speculators keen to milk any profits they can from price spikes.
Ripple, which was created back in 2012 by Ripple Labs (making it one of the oldest cryptocurrencies), sets itself apart from many other major digital tokens by working directly with the established financial services sector.
News yesterday that content creators on some of the internet's biggest platforms will be able to accept payments, or tips, in XRP tokens directly through a company called Coil, was not been enough to prop up the XRP price.
Meanwhile, Ripple Labs co-founder Chris Larsen has been talking about how digital tokenisation is required for the existing banking system to keep with globalisation. Larsen expects blockchain technology to act as a “container” through which globalization can be achieved and with it the creation of what he called an "internet of value."
"We are betting XRP ledger and XRP as the digital asset of choice where we are talking about the blockchain component of this internet of value. XRP clearly has, among the majors [cryptocurrencies], the lowest transaction costs," Larson told attendees at the CFCon USA 2018 conference, it was reported by cryptocurrency news website AMBCrypto.
"It is the fastest, about three seconds to settle, and it has the highest throughput of the major blockchains."