XRP hovers near $0.56 as Ripple, Hedera and Aptos Labs launch MiCA Crypto Alliance
- Ripple, Hedera and Aptos Labs, founding members of DLT Science Foundation, made a key announcement on Monday.
- The three firms launched the MiCA Crypto Alliance to enhance compliance with EU markets in crypto assets regulation.
- XRP hovers around $0.5600 on Monday.
Ripple (XRP) made a key announcement alongside other founding members of a crypto alliance. The DLT Science Foundation is behind the effort, Ripple partnered with Hedera and Aptos Labs.
XRP erased recent losses and held steady above $0.5600 on Monday.
Daily digest market movers: Ripple leads effort for crypto alliance launch
- Ripple partnered with crypto firm Aptos Labs and distributed ledger technology-based Hedera for the DLT Science Foundation. The DLT Science Foundation (DSF) is a non-profit organization that promotes blockchain technology adoption among firms.
- The foundation’s mission is to create an open ecosystem and work with industry, academia and developer communities.
- DSF announced the launch of the MiCA Crypto Alliance for better coordination among industry members and for navigating the regulatory landscape in the European Union (EU).
- The alliance aims to foster cooperation between firms navigating the EU’s regulation pertaining to innovation in blockchain technology.
- MiCA sets strict disclosures for Crypto-Asset Service Providers (CASPs) and expects centralized exchanges and crypto firms to disclose climate impact of operations, among other details, through white papers and online descriptions accessible to the public.
Technical analysis: XRP eyes double-digit gains
XRP has been in a multi-month downward trend since its July 2024 top of $0.9380. The native token of the XRP Ledger erased recent losses and trades at $0.5731, above support at $0.5600.
The Moving Average Convergence Divergence (MACD) indicator shows green histogram bars above the neutral line, signaling underlying positive momentum in XRP price trend.
XRP could extend gains by 15% and rally to $0.6602, the 50% Fibonacci retracement of the decline from the July 2024 top of $0.9380 to the July 2024 low of $0.3823.
XRP/USDT daily chart
XRP could find support in the Fair Value Gap (FVG) between $0.5413 and $0.5556.
Ripple FAQs
Ripple is a payments company that specializes in cross-border remittance. The company does this by leveraging blockchain technology. RippleNet is a network used for payments transfer created by Ripple Labs Inc. and is open to financial institutions worldwide. The company also leverages the XRP token.
XRP is the native token of the decentralized blockchain XRPLedger. The token is used by Ripple Labs to facilitate transactions on the XRPLedger, helping financial institutions transfer value in a borderless manner. XRP therefore facilitates trustless and instant payments on the XRPLedger chain, helping financial firms save on the cost of transacting worldwide.
XRPLedger is based on a distributed ledger technology and the blockchain using XRP to power transactions. The ledger is different from other blockchains as it has a built-in inflammatory protocol that helps fight spam and distributed denial-of-service (DDOS) attacks. The XRPL is maintained by a peer-to-peer network known as the global XRP Ledger community.
XRP uses the interledger standard. This is a blockchain protocol that aids payments across different networks. For instance, XRP’s blockchain can connect the ledgers of two or more banks. This effectively removes intermediaries and the need for centralization in the system. XRP acts as the native token of the XRPLedger blockchain engineered by Jed McCaleb, Arthur Britto and David Schwartz.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
