- The US dollar’s stability is under threat due to escalating national debt and mass fiat printing by the Federal Reserve.
- Bitcoin and Ripple (XRP) are emerging as potential beneficiaries amidst growing financial uncertainty.
In a recent revelation, the blockchain space is abuzz with speculations concerning the potential downfall of the US dollar. As per an article from Forbes Digital Assets, the mighty American currency might face dire consequences, particularly due to the increasing US national debt, termed as the “debt death spiral” and the Federal Reserve’s aggressive money-printing tactics.
Financial Instability Fueling Cryptocurrency Momentum?
Forbes’ report points towards an impending collapse of the American economy and its flagship currency. Factors such as the “debt death spiral” and the unchecked issuance of fiat currency by the Federal Reserve contribute to this bleak forecast. As a result, the cryptocurrency sphere, notably Bitcoin (BTC), Ripple (XRP), and Ethereum (ETH), is expected to witness significant rallies, finding fresh highs as traditional finance wobbles.
Christopher Wood, the global head of equity strategy at Jefferies, commented,
“The potential fall of unorthodox monetary policy might end in the US dollar’s crash, favoring gold bullion and Bitcoin holders.”
Further supporting this sentiment, Japanese-American entrepreneur and author Robert Kiyosaki has previously advised investors to divert their attention towards BTC and precious metals, hinting at the US dollar’s possible decline.
A Rallying Point for Ripple’s XRP?
Recent events around Ripple’s native token, XRP, have prompted several bullish price predictions. After winning two significant court cases against the US SEC, the asset observed a surge of over 70% post the initial court verdict in July and a subsequent 6% spike last week, following the court’s decision against the regulator’s appeal plea.
ChatGPT forecasts the impending trial, set for April 2024, between Ripple and the US SEC as a potential catalyst for XRP’s ascendancy. Additional factors like strategic banking partnerships and adoption by leading financial institutions may further expedite XRP’s upward trajectory.