Cryptocurrencies Serving as Safe Assets: $3.4 Billion Capital Inflow Registered

Cryptocurrencies Serving as Safe Assets: $3.4 Billion Capital Inflow Registered

Wowsers, Wowsers! Crypto Market Shake-Up:

Last week, the crypto world got a good shake-up, as inflows reached staggering highs, only dethroned twice before. With Bitcoin defying the norm against altcoins, it's clear the market ain't resting easy.

Inflow FTW:

According to CoinShares' latest report, crypto inflows clocked in at a whopping $3.4 billion last week, reversing a three-week trend of negative flows. The week prior saw outflows of a mere $146 million, with two consecutive weeks recording outflows of $795 million and $240 million.

James Butterfill, Head of Research at CoinShares, is pretty chuffed with last week's inflows, calling them the largest on record. He attributes this to worries over tariffs' impact on corporate earnings and the associated effects on the almighty greenback.

"Ya feel me? We reckon investors are freakin' scared of the tariff impact on earnings and the weak US dollar, so they're jumping ship to digital assets," wrote Butterfill.

XRP's Time to Shine:

It seems XRP's had its moment to outshine other altcoins, bucking the trend for the week. This could be a sign of things to come with the recently proposed ProShares' XRP futures ETF attracting attention.

As BeInCrypto reported, predictions suggest a spot XRP ETF could follow suit, potentially leading to a colossal $100 billion investment flood for Ripple's payments token.

"Get ready for the storm, peeps! A spot XRP ETF could ride in soon, stirring up huge demand and sending prices soaring. Keep an eye on that CHA-CHING, 'cuz $100 billion could soon be XRP's for the taking!" analyst Armando Pantoja wrote.

Tariffs, Fed, and the US Dollar:

Lately, it seems the US economy's been going through the wringer. CoinShares dug deep in a recent report, touching on the US government's role, the Fed's position amidst the fracas, and the chaos's impact on the US dollar.

On one hand, President Trump's showing plenty of political pressure on the Fed, pushing for lower interest rates. However, the FOMC's rebuffed further rate cuts, and the Fed's also made grim downward revisions to its 2025 economic projections.

While the Fed's actions imply weaker economic growth and persistent inflation, Trump's moves hint at potential political battles over monetary policy.

"Is the US government takin' over the economy? Is the Fed losin' control? That's the question, folks," CoinShares asked.

The US dollar's feeling the heat, with recent reports of the plummeting DXY (dollar index) as Trump tries to oust Fed chair Jerome Powell.

Analysts believe Bitcoin's shift from risk asset to hedge against monetary mismanagement's all thanks to US economic turbulence, including Q1 2025 GDP and new tariffs. Since the tariff announcement, Bitcoin's outperformed the Nasdaq-100 by 4.5%.

Investors are clearly take notice of the growing crypto market, likely seeking safer alternatives as traditional investments falter.

It's Time to Jump In:

If you're ready to ride the crypto wave, platforms like Uphold, eToro, YouHodler, Wirex, NEXO, and MEXC can help you get started. With these platforms, you'll have early access to new tokens, seamless trading across assets, and support for crypto, stocks, and precious metals.

Remember, it's always prudent to verify facts independently and consult a professional before making any decisions based on this content.

Disclaimer:BeInCrypto is dedicated to transparency, fairness, and freedom of information. This article aims to provide accurate, timely information; however, readers should always exercise caution and conduct their research independently. BeInCrypto's Terms and Conditions, Privacy Policy, and Disclaimers have been revised.

1. Last week's cryptocurrency inflows reached a staggering $3.4 billion, marking a significant reversal from three weeks of negative flows.
2. James Butterfill, Head of Research at CoinShares, attributes the large inflows to worries over tariffs' impact on corporate earnings and the associated effects on the US dollar.
3. XRP bucked the trend among altcoins last week, potentially indicating a shift in the market with the proposed ProShares' XRP futures ETF attracting attention.
4. Analysts predict a spot XRP ETF could soon follow, potentially leading to a $100 billion investment flood for Ripple's payments token.
5. Lately, the US economy has been going through turbulent times, with CoinShares exploring the US government's role, the Fed's position, and the chaos's impact on the US dollar.
6. President Trump's pressure on the Fed for lower interest rates has been met with rebuffs, and the Fed has made grim downward revisions to its 2025 economic projections.
7. Bitcoin's shift from a risk asset to a hedge against monetary mismanagement may be due to US economic turbulence, including Q1 2025 GDP and new tariffs.
8. If you're ready to invest in the cryptocurrency market, platforms like Uphold, eToro, YouHodler, Wirex, NEXO, and MEXC can help you get started, offering early access to new tokens, seamless trading, and support for cryptocurrencies, stocks, and precious metals.

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