Ripple (XRP)’s price has been one of the better performers throughout the past 24 hours, increasing by some 2.5% at the time of this writing.
With this, the cryptocurrency managed to overcome the $0.50 level and is now approaching newer highs. This increase comes amid a broader market recovery, but also some Ripple-specific news that may have something to do with it.
Let’s dive in.
The Broader Cryptocurrency Market Recovers
The entire cryptocurrency market is in the green today, with Bitcoin pushing for $27K once again.
Other coins, such as Ethereum, Binance Coin (BNB), and Cardano (ADA) are also charting some mild gains over the past 24 hours.
This general market sentiment has helped XRP’s price push above $0.50, which seems to be an important technical and psychological resistance level.
Ripple’s Move to Withdraw from Fortress Trust Acquisition
Acquisitions tend to be perceived as largely positive triggers, but it really depends on when they happen.
Earlier in September, Ripple signed a letter of intent to acquire the cryptocurrency-focused institution Fortress Trust.
Yesterday, the company backed out of the deal, with CEO Brad Garlinghouse stating:
While this outcome is different from what was originally planned, we’ll continue to support them and hope to work together in the future!
Ripple is an investor in the company and plans to remain one without outright buying it. The exact reason remains unclear, but it might have something to do with the fact that Ripple’s legal bill for the case against the US SEC has ramped up to a whopping $200 billion.
Relocation of resources and prioritizing are critical in periods of market stagnation, and it might be the case that the company is doing a better job at getting its priorities straight.
While these might be the two main reasons for XRP’s price increase over the past 24 hours, it’s worth pointing out that the SEC Commissioner – Gary Gensler – was also recently grilled at a hearing, where he failed to provide concise answers to multiple questions.