In response to concerns regarding XRP’s sluggish price performance, Ripple’s Chief Technology Officer David Schwartz, took to social media platform X to shed light on the matter. The discussion ensued after a user questioned the notion of “gradual appreciation” in relation to XRP’s price behavior compared to other crypto projects.
Ripple CTO Explains Gradual Appreciation Concept
Recently, an XRP enthusiast took to X and asked Ripple CTO Schwartz to elaborate on what exactly he means by “gradual appreciation.” The user gave reasoning for his query and stated, “Because XRP doesn’t look at all like something that gradually appreciates in price if you compare it to projects that are actually much more favored for speculation.”
Schwartz provided insights by comparing XRP to Bitcoin’s (BTC) long-term price trajectory. He stated, “Here is a chart of bitcoin over the past 12 years on a log scale. The long-term behavior is that of gradual appreciation.” Furthermore, he emphasized the importance of evaluating alternative investment strategies such as Automated Market Makers (AMMs) or staking, as options for achieving long-term growth.
Whilst, Bill Morgan, an XRP advocate, took a jibe at investors who rake in profits from volatility, colloquially referred to as “moon boys.” Schwartz responded by acknowledging the differing perspectives. He noted, “If you view cryptos like lottery tickets…you should just hold them and not look for ways to take on more risk.” In addition, he clarified that he does not view cryptocurrencies in that manner.
The exchange highlighted the diverging viewpoints within the crypto community regarding investment strategies and expectations. While some advocate for speculative holding, others like Schwartz, advocate for a more measured and risk-conscious approach. Moreover, the Ripple CTO indirectly advised long-term holdings for cryptocurrencies like XRP to earn returns.
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XRP Price Action
The XRP price performance has been a topic of debate within the crypto community, with some expressing frustration over its apparent lack of significant upward movement. On the contrary, the XRP price registered a rebound. At press time, the XRP price was up by 0.83% to $0.6275 on Monday, March 11.
The Ripple-backed crypto boasted a market cap of $34.39 billion. Moreover, the 24-hour trade volume spiked by 42.49% to $2.11 billion. However, XRP’s 1-month price gain stands at over 17%, which is comparatively lesser than other do dedo assets.
Bitcoin, the largest crypto, soared over 49% in the last 30 days and is approaching a new all-time high at $72,000. In addition, Ethereum (ETH) surged past $4,000, rallying nearly 61% in a month. Moreover, Solana (SOL) and Cardano (ADA) also registered a parabolic surge with about 37% gains each. Hence, XRP was naturally overshadowed, giving rise to the above-mentioned concerns.
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