XRP news today: Crypto inflows surge 100% to $3.4 billion as Bitcoin hedges US dollar volatility

Generated by AI AgentCoin World
Monday, Apr 28, 2025 8:30 am ET1min read
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Crypto inflows surged to $3.4 billion last week, marking a significant turnaround amidst geopolitical and economic uncertainties, primarily driven by tariff concerns impacting the US dollar. This surge in inflows is the largest on record for digital assets and is directly tied to growing concerns over tariffs affecting corporate earnings and the consequent impact on the US dollar.

Bitcoin attracted the majority of these inflows at $3.188 billion, highlighting its emerging role as a hedge against US dollar volatility. This trend underscores Bitcoin’s status as a safe haven asset well beyond its historical role. As digital assets gain traction, Bitcoin is increasingly viewed as a hedge against US dollar volatility, highlighting its emerging role in modern investment strategies.

XRP also demonstrated notable strength, spurred by rising ETF optimism. There’s speculation that a spot XRP ETF could follow soon, potentially unlocking substantial investment inflows. A spot XRP ETF could be next, unlocking real demand and sending prices soaring. $100 billion+ could soon flood into XRP, noted an analyst.

In exploring the economic landscape, the role of the US government amidst current market turmoil and the Federal Reserve’s position was examined. President Trump is exerting political pressure on the Federal Reserve, pushing for interest rate cuts, yet the Federal Open Market Committee (FOMC) has resisted further reductions, making significant downward revisions to its 2025 economic forecasts. While the Fed’s actions suggest a bleak economic outlook with persistent inflation concerns, Trump’s insistence hints at looming political confrontations over monetary policy.

The ongoing chaos is taking a toll on the US dollar, exemplified by the plummeting DXY (Dollar Index) in light of Trump’s moves to remove Fed chair Jerome Powell. Analysts now view Bitcoin not merely as a risk asset, but as a hedge against monetary mismanagement; its recent performance has exceeded the Nasdaq-100 by 4.5% since tariff announcements.

The recent spike in crypto inflows emphasizes Bitcoin’s evolving role as a safe haven amid economic uncertainties. As investors look to diversify their portfolios in light of potential dollar instability and market turbulence, Bitcoin’s status could well be solidified further. Continued vigilance on macroeconomic policies and global developments remains essential for investors keen on capitalizing on the emerging trends in digital assets.

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