---
title: "Massive XRP Rally Expected With Federal Reserve’s $6 Trillion Inflation Shift"
url: https://diffcoin.com/massive-xrp-rally-expected-with-federal-reserves-6-trillion-inflation-shift/
description: "According to a new report from Forbes, the stage may be set for a remarkable resurgence in the prices of leading digital assets like Bitcoin and XRP. The key"
published: 2024-05-22
updated: 2024-05-22
author: "Mila"
site: "Diffcoin"
---

# Massive XRP Rally Expected With Federal Reserve’s $6 Trillion Inflation Shift

Could the US Federal Reserve’s potential pivot on inflation be the catalyst for a multi-trillion dollar surge in the cryptocurrency market? That’s the bullish prediction from some of Wall Street’s top analysts as they eye a seismic shift in monetary policy.

According to a new report from Forbes, the stage may be set for a remarkable resurgence in the prices of leading digital assets like Bitcoin and XRP. The key driver? An estimated $6 trillion in sidelined capital that could come flooding back into the market as the Fed eases its hawkish stance.

## **The Floodgates Could Open**

This isn’t just a typical crypto rally. Tom Lee, managing partner at Fundstrat Global Advisors, believes in the potential for a transformative, once-in-a-generation event. If the Fed signals that it’s successfully reined in inflation, he said people could see trillions of dollars rushing back into the market in a matter of months.

> ‘Still Early’—Sudden $6 Trillion Fed Inflation Flip Predicted To Unleash A Bitcoin, Ethereum, XRP And Crypto Price Boom [pic.twitter.com/doEjvOef58](https://t.co/doEjvOef58)
> 
> — Forbes (@Forbes) [May 15, 2024](https://twitter.com/Forbes/status/1790811973673730164?ref_src=twsrc%5Etfw)

Lee’s bullish outlook is centered around the notion that the Fed will soon declare victory in its battle against soaring prices. The recent deceleration in the US consumer price index, with a 0.3% increase in April versus 0.4% in March, suggests the central bank’s aggressive rate hike campaign may be bearing fruit.

Should that prove to be the case, Lee believes it could ignite a frenzy of investment activity, with Bitcoin potentially surging to $150,000 – more than double its current price of around $71,000. And if history is any guide, other cryptocurrencies like XRP could follow a similar trajectory.

XRP is currently trading at 0.53. Chart: TradingView

## **Crypto ETFs Provide Institutional Tailwind**

Bolstering this bullish case is the recent wave of crypto exchange-traded fund (ETF) approvals, which have opened the door for mainstream investors to gain exposure to digital assets. Since January, a number of high-profile Bitcoin and Ethereum ETFs have launched, providing a crucial on-ramp for institutional capital.

### **XRP Poised For Resurgence?**

All eyes will be on XRP, the third-largest cryptocurrency by market capitalization, which has struggled to regain its former highs after a protracted legal battle with the US Securities and Exchange Commission.

However, if the broader crypto market does indeed embark on a parabolic rally fueled by that $6 trillion in dormant capital, analysts believe XRP could be one of the biggest beneficiaries. Some are even speculating that the token could soar past the $1 mark – and potentially reach even loftier heights – if Bitcoin achieves Lee’s $150,000 target.

XRP has been in the doldrums for a while now, but that could all change in a heartbeat if this predicted crypto boom materializes. With the SEC issue seemingly resolved, XRP is poised for a major resurgence, and we could see it reclaim its former glory as one of the market’s top-performing assets.

*Featured image from Getty Images, chart from TradingView*

[Source link](https://bitcoinist.com/xrp-rally-seen-with-feds-6-t-inflation-shift/)