Asia’s Retail FOMO Could Be Behind XRP’s Rally Despite SEC’s LawsuitXRP’s double-digit gains could be the result of a bold bet by retail investors, especially those in Asia, that the cryptocurrency’s price could follow the broader crypto bull run. The latest rally surprised many because it is happening not long after XRP crashed on the news the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Ripple Inc., claiming the company sold the token as a security.
That said, it seems as if some market participants are undeterred by the regulator’s action.
“Traders often trade products on a relative value basis,” Chris Thomas, head of digital assets at Swissquote Bank, told CoinDesk on Jan.7. “XRP felt cheap a few days ago. Today it feels normal again, in my opinion.”
Simons Chen, a crypto trader based in Hong Kong, told CoinDesk he bought XRP when the price went to nearly its bottom point at the end of December with the belief that it would rebound soon, following bitcoin’s trend.
Chen said that when bitcoin and other alternative cryptocurrencies (altcoins) were going up, XRPs price went the opposite way because of the SEC news. That movement, to him, meant a great opportunity to “buy the dip.”
Trading volumes from major exchanges globally, particularly in Asia, also show significant traffic in the XRP/USDT (tether) and XRP/KRW (Korean won) pairings, according to data from Nomics.
“Unlike Coinbase or other ‘regulated’ exchanges, Korean and [other] Asian exchanges do not need to care that much of what the SEC does, and investors in Asia are less sensitive about the news,” said Sinhae Lee, partner at Shanghai-based blockchain consulting firm Block72. “With the current major altcoins’ price appreciation, investors bought XRP as its price went down a lot.”
https://www.coindesk.com/xrp-asia-retail-fomo-rally
[b]Op <a href="http://forum.fok.nl/topic/2419064/1/999#p176295558" target="_blank" >vrijdag 5 januari 2018 08:29</a> schreef <a href="http://forum.fok.nl/user/profile/144984" target="_blank" >xminator</a> het volgende:[/b]
Anyway gelukkig zijn er een hoop mensen net zo dom als jij. Daarom koop ik nu wat extra ripple..