Aaryamann Shrivastava
FXStreet
- Ripple is testing its Ethereum Virtual Machine (EVM) sidechain, which is set to run in parallel with the mainnet.
- Ripple’s EVM sidechain is currently only limited to developers who can test their smart contracts before releasing them on the main XRPL blockchain.
- XRP is sustaining its 63% rally that took place between September and October despite falling by 10% in the last seven days.
Ripple is doing pretty well for itself given the state of the crypto market. Optimism surrounding its ongoing SEC lawsuit, the recent increase in XRP’s price, and the ongoing development are contributing factors.
Ripple brings Ethereum smart contracts to mainnet
Ripple’s EVM-compatible sidechain just went live on its devnet. This move has been made to enable the deployment of Ethereum-based smart contracts on its mainnet. The sidechain on the devnet will allow developers to test their protocols before they go live on the mainnet.
The addition of an EVM-compatible chain will allow for the XRP Ledger (XRPL) blockchain, as well as Ripple as a whole, to grow further and attract more users. The sidechain’s activation was just the first of a three-phase process that will bring smart contracts to the network.
Following the devnet launch, the sidechain is set to become permissionless in early 2023, ideally opening it to any and every person. By the second quarter of 2023, the EVM compatibility will become seamless with the XRPL.
There is still some time before EVM compatibility becomes a reality, but XRP’s price is already high.
XRP, in the meanwhile
After marking a 63% rally over the course of three weeks from mid-September, XRP breached a 17-month-long downtrend. Sustaining above it, the altcoin can be seen trading at $0.478 with the support of the 200-day (green) Simple Moving Average (SMA) at $0.445.
In addition, XRP has the support of the 50-day (red) and 100-day SMAs (blue), which are close to its critical support line of $0.386. If XRP’s price can survive slight consolidation and maintain its bullishness, it is looking at testing the $0.600 resistance. If not, the price will find enough support before hitting $0.386.
BTC/USD 1-day chart
Put simply, XRP is still in a seemingly good condition, and positive external developments will only maintain its sanguine heading.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Altcoins to pump once BTC bottoms out, slow grind up for now
Bitcoin price reclaiming above $59,200 would hint that BTC has already bottomed out, setting the tone for a run north. Ethereum price holding above $2,900 keeps a bullish reversal pattern viable despite falling momentum. Ripple price coils up for a move north as XRP bulls defend $0.5000.
Jack Dorsey's Block is under investigation by US Prosecutors for crypto lapses, says NBC
According to a report from NBC on Wednesday, former Twitter CEO Jack Dorsey's company, Block, is under investigation by the US federal government. The allegations against the company are charges of processing transactions linked to sanctioned countries and even terrorists.
Ethereum attempts comeback after Fed decision not to tamper with rates
Institutional whales appear to be dumping Ethereum after recent dip. Fed’s decision to leave rates unchanged appears to have helped ETH's price recover slightly. SEC Chair Gensler has misled Congress, considering recent revelations from Consensys suit, says Congressman McHenry.
Solana price dumps 21% on week as round three of FTX estate sale of SOL commences
Solana (SOL) price is down almost 5% in the past 24 hours and over 20% in the last seven days. The dump comes as the broader crypto market contracts with Bitcoin price leading the pack as it slides below the $58,000 threshold to test the Bull Market Support Band Indicator.
Bitcoin: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s (BTC) recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.