XRP News Today: Fed's Unseen Shift Could Make XRP the Big Winner

Analyst Levi Rietveld has suggested that XRP could experience significant price growth, driven by a potential shift in U.S. monetary policy. Rietveld cited a change in the Federal Reserve's focus, arguing that the central bank is now prioritizing unemployment concerns over inflation, despite key inflation indicators remaining high [1]. He attributes this shift to pressure from the Caposi letter and signaled that the Fed may soon cut interest rates, citing signs of weakness in the labor market [1].

The data supporting Rietveld’s argument includes the Producer Price Index (PPI) showing a 0.9% month-over-month increase—the highest since 2022—highlighting growing cost pressures [1]. Meanwhile, the Consumer Price Index (CPI) has exceeded the Fed’s 2% target for 53 consecutive months. Rietveld also pointed to significant downward revisions in employment data, with more than 258,000 jobs removed from the May and June reports, suggesting a weaker labor market than initially reported [1].

Rietveld further linked these economic conditions to potential opportunities in the digital asset market, particularly for XRP. He argued that individuals not holding such assets risk being left behind in the evolving financial environment. If the Fed proceeds with rate cuts, Rietveld believes the combination of monetary easing and inflationary pressures could drive substantial gains for XRP over the next 12 months [1].

Other analysts have also noted signs of strength in XRP despite broader market fluctuations. Veteran trader Davinci Jeremie, who advocated for Bitcoin in 2011, has suggested XRP could reach $5, citing strong price patterns and a possible bullish continuation. Trader CasiTrades highlighted a key support level at $2.91 and suggested a potential Wave 3 move if this level holds [4]. Additionally, analyst Ali Martinez pointed to a possible test of $3.70, with technical indicators like the RSI suggesting a slowdown in the negative trend [4].

Despite recent volatility, XRP has outperformed other major cryptocurrencies in the long term, with its price rising by nearly 400% over the past year. Its utility in facilitating fast, low-cost international transactions and its ties to Ripple have contributed to its appeal. Ripple’s recent regulatory wins, including the SEC ending its appeal of a favorable ruling on XRP sales, have further bolstered the asset’s outlook [3]. Additionally, the launch of RippleUSD—a stablecoin pegged to the U.S. dollar—has created a new use case for XRP, with transaction fees burned and removed from circulation.

XRP has also emerged as a hedge against U.S. economic uncertainty, including concerns over the rising trade deficit and national debt. As the U.S. dollar weakens, the value of XRP generally increases, making it a potentially effective tool for investors seeking to diversify their portfolios [3]. However, like all cryptocurrencies, XRP is subject to high volatility, and its performance is closely tied to macroeconomic conditions and broader market sentiment.

While some analysts are optimistic about XRP’s potential to become a long-term millionaire-maker, others caution that its future performance will depend on both its utility and the evolving regulatory landscape. With a market cap of $172 billion, XRP is already among the largest digital assets globally, which may limit the potential for multi-bagger returns moving forward. Nevertheless, regulatory clarity and ongoing adoption in the financial sector could continue to support XRP’s growth trajectory [3].

Source:

[1] Analyst Says XRP Is All the Way Up. Here's why (https://timestabloid.com/analyst-says-xrp-is-all-the-way-up-heres-why/)

[2] Why XRP (Ripple) Is Sinking Today - Yahoo Finance (https://finance.yahoo.com/news/why-xrp-ripple-sinking-today-152802752.html)

[3] Is XRP a Millionaire-Maker Cryptocurrency? (https://www.nasdaq.com/articles/xrp-millionaire-maker-cryptocurrency)

[4] Veteran trader who 'begged' people to buy Bitcoin in 2011, has a wild prediction for XRP (https://www.thestreet.com/crypto/markets/veteran-traders-predict-xrps-next-leg-up)