The controversial digital currency XRP closed November on a high note, with a staggering 283% surge and an additional 31% increase in the first three days of December. However, this sudden ascent has sparked a heated debate among cryptocurrency enthusiasts, leading some Bitcoin maximalists to dub the event as the “mother of all rugpulls.”
Prominent Bitcoin proponents have voiced their concerns over this rapid growth. An influential figure known as “BitMan” shared a chart showcasing XRP’s remarkable all-time gain of 45,920% and its recent expansion. He warned of a potential disastrous end to this sudden increase, ominously referring to it as the “mother of all rug pulls.”
Rajat Soni, a Chartered Financial Analyst and another staunch Bitcoin supporter, mirrored these concerns. He described XRP’s sudden rally as unnatural and indicative of a pump-and-dump scheme. Soni expressed disbelief at XRP’s 435% rise since November 2, noting that its growth has been a mere 11% since 2018. He argued that such price behavior does not align with normal market activity, labeling the rally suspicious.
However, Soni’s claims were met with resistance. “Kaptain Kirk,” a market commentator, countered this argument by suggesting that the recent price increase merely reflects a correction following years of suppression by the SEC. According to Kirk, the rally signifies a return to XRP’s natural price, which had been artificially deflated due to the SEC lawsuit.
These criticisms from Bitcoin maximalists coincide with XRP’s substantial gains against Bitcoin. The XRP/BTC pair saw a significant upswing of 179.14% in November and rose another 32% in December, reaching its highest level in 18 months at 0.00002704 BTC. This outperformance has led to increased criticism from Bitcoin maximalists, who arguably view XRP as a speculative asset with weak foundations.
Contrarily, Tony Edward, host of Thinking Crypto, defended XRP, arguing that it has consistently maintained its position among the top 10 cryptocurrencies for years. He dismissed claims of a rug pull, pointing out that even Bitcoin experiences significant sell-offs during market corrections. Edward accused Bitcoin maximalists of cognitive dissonance, suggesting they struggle to accept when altcoins outperform Bitcoin.
According to some proponents, XRP’s rally is fuelled by renewed confidence in the token, with expectations of a pro-crypto Trump administration adding to this optimism. Despite the polarizing views, it is clear that the future of XRP remains a hot topic in the cryptocurrency community.
