Crypto researcher SMQKE has drawn the crypto community’s attention to a Ripple document, which reveals what could serve as catalysts for the XRP price to rally higher. This comes as the crypto firm expands its operations, which is bullish for the altcoin.
Ripple Document Comments On What Could Send the XRP Price Higher
In an X post, SMQKE shared the Ripple document, which noted that the XRP price is likely to appreciate further as demand for it increases. The crypto firm believes that this demand will increase as its payment services become widely adopted. XRP plays a crucial role in Ripple’s operations as the crypto firm processes these payments through the XRP Ledger (XRPL).
Ripple further noted that XRP must provide some utilities to its holders for there to be long-term organic demand as opposed to purely speculative demand. The crypto firm stated that the altcoin provides two utilities by fulfilling two functions of security and serving as a bridge currency. The coin serves these functions as the native token of the XRPL, and so, the XRP price could rally higher as more users adopt the network.
Furthermore, the Ripple document alluded to the token’s deflationary status. Small amounts of the token are burned following each transaction. As such, this is another factor that could contribute to a higher XRP price over time. Huge demand and limited supply could combine to send the altcoin higher.
Meanwhile, earlier, SMQKE had shared another report stating that the altcoin’s deflationary characteristics would decrease its supply, causing the XRP price to rise. This is expected to happen as the token actively integrates with the banking industry. XRP could integrate with the banking industry as Ripple expands its operations. AMINA Bank recently became the first global bank to enable support for the crypto firm’s RLUSD stablecoin.
Major Ripple Steps That Are Bullish For The Altcoin
Ripple recently applied for a national banking license with the Office of the Comptroller of the Currency (OCC). This move is significant as it could help the crypto firm expand its operations in the US, with major institutions looking to adopt its payment services. Consequently, these potential partnerships are bullish for the XRP price, since they enable the altcoin to gain more adoption in the traditional finance (TradFi) space.
It is also worth mentioning that Ripple has agreed to drop its cross-appeal against the SEC, with the Commission expected to follow suit. This clears the way for the potential approval of the XRP ETFs, which could also spark more demand for the altcoin and send the XRP price higher. Market expert Nate Geraci affirmed that Ripple closing this chapter would usher in these ETFs.
At the time of writing, the XRP price is trading at around $2.93, up over 5% in the last 24 hours, according to data from CoinMarketCap.
Featured image from iStock, chart from Tradingview.com
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