Bitcoin is the first cryptocurrency which came into existence. It is also the most influential cryptocurrency. Its trials and tribulations have their own stories but they mostly determine the story of other altcoins too.
When the prices of Bitcoin hits high, the entire crypto market does well. On the other hand, when the Bitcoin’s prices hit low, other altcoins also suffers losses. Such is the influence of Bitcoin over the entire crypto market.
But according to Ripple CEO Brad Garlinghouse, this is about to change very soon. Garlinghouse thinks that this is a correlation which goes both ways. Since Bitcoin is the market’s original currency, its influence is oversized to its real value. But still, it determines the direction of the wider market.
Garlinghouse thinks that the separation of the correlation is very near. He was interviewing with CNBC when he made these observations. He said that there is a very high correlation between the prices of XRP and the price of Bitcoin.
But these two are independent open sourced technologies, he said. He further commented that its early buy over time the more rational market will emerge. With the emergence of the rational market, the behavior will change. This will ensure the shift from this dominating correlation.
Ripple holds the third largest circulation and the company holds most of the crypto asset. It is a centralized enterprise which is why the SEC is considering to brand it as a security asset. The company wants to change the logo of the XRP so that they can distinguish between the company and the digital asset.
Ripple has made huge partnerships with significant market players such as Currency Direct Ltd and Moneygram. But still, the prices didn’t bounce back. The overdominance of Bitcoin can be pointed as one of the reasons. Ripple’s x-factor is its swift cross-border transaction function which is very efficient when compared to other crypto assets.