Analyst Predicts Fed Rate Cuts Will Drive XRP Rally
Financial expert Levi Rietveld argues the Federal Reserve is set to cut interest rates within a month, marking a strategic pivot that prioritizes unemployment over inflation. He points to a 0.9% month-over-month rise in the Producer Price Index and 53 consecutive months of Consumer Price Index inflation above 2%, alongside a 258,000-job downward revision for May and June. Rietveld warns that rate cuts amid high inflation could destabilize the U.S. economy, but sees a major opportunity for digital assets—especially XRP. He predicts XRP will outperform Bitcoin as monetary easing fuels demand for cross-border settlement solutions. Traders may position for a significant XRP rally over the next 12 months if the Fed follows through.
Bullish
Rietveld’s forecast hinges on a Fed pivot toward rate cuts despite stubborn inflation—a classic catalyst for risk-asset rallies. Historical precedents, such as 2020’s emergency easing, saw cryptocurrencies surge as liquidity flooded markets. By tying monetary policy directly to digital-asset performance, he positions XRP for outsized gains, citing its utility in cross-border payments. In the short term, speculation around Fed moves may amplify volatility and drive XRP trading volume. Over the longer term, sustained easing and elevated inflation could shift investor capital into alternative stores of value, reinforcing a bullish thesis for XRP.