Ripple (XRP) Case Indicates Crypto Industry Global Growth Cycle Has Begun

Ripple (XRP) Case Indicates Crypto Industry Global Growth Cycle Has Begun

Source: Getty Images

Popular influencer Mike Novogratz, CEO of investment firm Galaxy Digital, says the XRP case proves the inevitable growth of the cryptocurrency industry due to the public interest.

Novogratz notes that despite a $1.3 billion SEC lawsuit, XRP is on the rise. And this is an objective indicator that this cryptocurrency is in demand by the community. The case also proves that the entire crypto industry has become stable enough. The expert states:

– The value of XRP has actually almost tripled since the SEC actions. It hasn’t plummeted. It’s a testament to the fact that once communities are formed with shared interest they are damn resilient.

Mike also emphasizes that this is not an incident. In his opinion, the consolidated efforts of the Dogecoin (DOGE) community have made this meme coin one of the largest cryptocurrencies in terms of capitalization. DOGE is actively used in payments and for charity purposes. At the beginning of the year, DOGE was only worth $0.0047. Its supporters on the social network Reddit concluded that their favorite cryptocurrency is greatly undervalued, it is necessary to raise its price to at least $1 and make it the third cryptocurrency for capitalization.

On May 8th, this incredible target was almost reached, DOGE set a new all-time high at $0.7376. However, it turned out that the coin’s functionality was outdated. Dogecoin is a fork of Litecoin and operates on the Proof-of-Work consensus, which is now being criticized because it takes a lot of electricity to mine. To change the situation, according to the community’s wishes, the Dogecoin developers have resumed the Dogecoin Foundation. Ethereum creator Vitalik Buterin and Elon Musk’s associate Jared Birchall became its advisors. It is planned to shift the popular coin to the energy-efficient Proof-of-Stake consensus.

Mike also recalls the GameStop case. In late January 2021, hedge fund bears were trying to crash stocks of the GameStop video game retail network. The outraged community on Reddit agreed to oppose this. Due to the massive purchase by retail investors, GameStop shares rose 25 times, from $20 to $500. The bears suffered colossal losses, the network received investments for development. This case also had a positive impact on the cryptocurrency market.

Mike Novogratz believes that we have entered a new phase in the development of the global digital market, what’s important is “community identity, and that now has value”. The expert also points out that the cryptocurrency market today accounts for 0.5% of global wealth. And from now on, this share will constantly grow. He emphasizes:

– If you don’t have at least 1/2 percent invested in crypto you are short the global benchmark. Most institutions are still at 0. As they move in, that number will go to one then two then …. The cycle has started.