XRP price recovers after dip to $1.77: what’s behind the recovery?

The XRP price shows strength again on Friday morning. After a sharp drop to $1.77 overnight, the currency has recovered to $1.86. The recovery appears to be caused by relief in the broader crypto market and a new wave of institutional interest in Ripple.

Market breathes a sigh of relief after Japanese interest rate hike

An unexpectedly positive mood on the financial markets is helping crypto coins such as XRP move forward today. Japan’s central bank raised interest rates last night for the first time in a long time. Many economists feared a negative reaction, but investors reacted with relief. That relief ensures broader stabilization in the crypto market.

XRP benefits from that peace, but there is more good news.

Ripple share deal sparks interest

Australian VivoPower has set up a fund together with South Korean asset manager Lean Ventures that allows institutional and private investors in South Korea to invest in Ripple Labs shares. The goal is to acquire up to $300 million worth of shares in Ripple Labs.

According to VivoPower, there has been written approval from Ripple for an initial purchase round. Investors will not directly receive XRP, but they will have an interest in the company behind the coin. This could be attractive to parties looking for exposure to the Ripple ecosystem without having to purchase crypto themselves.

Although it is not a direct purchase of XRP, it does highlight that major players are showing renewed interest in Ripple as a company. This creates positive attention around the XRP price.

Will there be a break above $1.90?

Investors are now looking at the area between $1.87 and $1.90. In recent weeks, XRP has been rejected there every time. If the price does break through this time, it could be a signal that there is room for further rise.

For the time being, the upward movement appears to be mainly due to a combination of market-wide calm and focused interest in Ripple. Whether this is sufficient for a real trend break will have to be seen in the coming days.