Categories: Technical analysis

Why is XRP seeing a monster rally when Ripple is worth just $3B on the secondary market?

The equity of Ripple, the company that builds the infrastructure around XRP — the digital asset used by networks like RippleNet to process cross-border payments — is reportedly trading at $2 to $3 billion in the secondary market. Yet, the XRP holdings of Ripple are reportedly worth $70 billion, which is many times higher than the valuation of the firm’s equity.

Michael Novogratz, billionaire cryptocurrency investor and the CEO of Galaxy Digital, said: “Ripple equity is ‘trading’ in secondary market at

Michael Novogratz, billionaire cryptocurrency investor and the CEO of Galaxy Digital, said: “Ripple equity is ‘trading’ in secondary market at $2-3bn valuation. The $XRP on their balance sheet is worth approx $70bn. One price seems wrong. If $XRP price is saying settlement coming, the equity is crazy cheap. If not, the token seems expensive. Thoughts?”

What is behind the XRP rally?
Throughout the past two weeks, the main catalysts for the 160% rally came from victories in the company’s legal battle. Ripple lawyers were granted access to internal SEC discussion history regarding cryptocurrencies, and a court denied the SEC the ability to disclose the financial records of two Ripple execs, including CEO Brad Garlinghouse.
Another reason may be the convergence trade between Bitcoin (BTC) and altcoins, particularly as BTC sees sideways price action, allowing alternative cryptocurrencies to rally and catch up.

Why is XRP seeing a monster rally when Ripple is worth just $3B on the secondary market?, Cointelegraph, Apr 16

-3bn valuation. The $XRP on their balance sheet is worth approx bn. One price seems wrong. If $XRP price is saying settlement coming, the equity is crazy cheap. If not, the token seems expensive. Thoughts?”

What is behind the XRP rally?
Throughout the past two weeks, the main catalysts for the 160% rally came from victories in the company’s legal battle. Ripple lawyers were granted access to internal SEC discussion history regarding cryptocurrencies, and a court denied the SEC the ability to disclose the financial records of two Ripple execs, including CEO Brad Garlinghouse.
Another reason may be the convergence trade between Bitcoin (BTC) and altcoins, particularly as BTC sees sideways price action, allowing alternative cryptocurrencies to rally and catch up.

Why is XRP seeing a monster rally when Ripple is worth just B on the secondary market?, Cointelegraph, Apr 16

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