Micah Highlights Two-Cent XRP Price Disparity Between Coinbase and Uphold, Sparking Arbitrage Interest

Crypto enthusiast Micah recently brought attention to a notable XRP price difference on Coinbase compared to Uphold. According to Micah, there is a two-cent disparity between the two platforms. This observation has sparked curiosity among cryptocurrency traders, with some looking to take advantage of the arbitrage opportunity.

Crypto enthusiast Micah has highlighted a price disparity between XRP on Coinbase and Uphold, sparking interest in arbitrage opportunities.

According to Micah, there is a two-cent price difference between the two platforms, with Coinbase displaying a higher price. This observation has prompted some traders to consider capitalizing on the arbitrage potential.

“XRP on coinbase vs uphold. Why is there a 2 cent price difference?,” Micah tweeted.

CoinBase ($XRP) price at the time of writing. (Coinbase)

The first chart from Coinbase shows the price of XRP at $0.52, with a slight decrease of 0.30% over the last 24 hours. It further depicts a fluctuating price throughout the day, peaking at $0.52 and dipping to $0.51.

Uphold, on the other hand, shows the price of XRP at $0.5077, marking a more significant decrease of 2.03%. Moreover, the highest price recorded on this chart is $0.52004, with a low of $0.50546.

This disparity in the two platforms has prompted market experts to investigate further the contributing factors.

In response to Micah’s post, crypto researcher Darren explained that Uphold typically integrates multiple exchanges. This allows it to aggregate pricing information from a broader range of sources, arriving at the $0.5077 price for XRP.

“Uphold taps into multiple exchanges and pairs while coinbase has its own trading. Usa citizens have limited accessibility causing a premium.,” Darren explained in a tweet.

This aggregation results in a pricing model that can be more reflective of the overall market, accounting for various factors and fluctuations. In contrast, he asserted that Coinbase relies on its internal exchange and user base for pricing. This approach leads to a less diversified pricing method.

Consequently, Coinbase’s more contained ecosystem leads to pricing influenced by the specific trading activities and volume within its environment. Darren adds that the premium observed on Coinbase could also result from accessibility limitations for U.S. citizens, which affects supply-and-demand dynamics.

For instance, in 2021, Coinbase halted XRP trading in New York because of the SEC’s lawsuit against Ripple, which claimed that XRP was an unregistered security. However, after a court decision in July clarified that XRP is not a security, Coinbase and other U.S. exchanges opted to relist the cryptocurrency.

Despite these developments, trading in New York remained halted as of the last update due to regulatory restrictions that limited access for residents, affecting the supply and demand balance in the state.

Meanwhile, XRP remains stranded at $0.51, but analysts are optimistic. According to a report from The Crypto Basic, a market analyst identified a bullish signal for XRP, indicating a potential rise that could multiply its value by 360 times, reaching $200.

In a separate analysis, different experts have set lower price objectives. EGRAG targets a $66 valuation, anticipating an impending impulsive wave, while CryptoBull foresees a dramatic surge to a bold $154.

At the time of writing, XRP is trading at $0.5178, up by 0.13% in the past 24 hours. Its intraday market capitalization now stands at $28.714 billion, with a 24-hour trading volume that has also increased by 65.62%, hitting $923 million.