Messari crypto analysis firm reported in their Q1 2020 review of currencies under their taxonomy, that Ripple’s XRP is the worst performing crypto asset this year.
Out of the top 25 coins by market cap its the worst performing in Q1 of 2020, Messari reported. XPRP is now at levels not seen since 2017 before the market pumped to all-time high, trading at $0.18 per coin.
The reason?
The panic over coronavirus pandemic, is a key role in shaping a bearish market throughout the whole industry. Yet, XRP seems to be lagging behind other crypto assets these days.
In the Messari report, they noted that:
“Early in the year, Ripple CEO Brad Garlinghouse revealed that Ripple would not be profitable or cash flow positive without selling XRP, indicating that its XRP sales were indeed helping to finance the business,”
This may have caused hesitation and affected investors confidence in the XRP price. That being said, it is not a secret that Ripple doesn’t necessarily focus on the price of XRP. Ripple have several projects that would define them, which could reflect positive on XRP. This includes projects such as the Ripple inks deal with the National Bank of Egypt. Another of the expansion of its business in the US-Mexico remittance market.
Finally they also have announced that BitMEX wants to offer XRP perpetual swap contracts, which may stimulating trading of XRP and make the market for XRP more liquid. On the other hand, this addition from BitMEX may also lead to increasing sell pressure on XRP.
Due to Ripple facing a lawsuit that accuses them of unlawfully selling XRP as an unregistered security under US federal law, this may leave investors wondering what the future for XRP will hold.