XRP and XLM outlook: How low can Ripple and Stellar go? | FXStreet
Ripple (XRP) and Stellar (XLM) prices fall as US inflation data raises Fed rate hike expectations. XRP trades at $1.318, below key EMAs, while XLM is at $0.180, also below support levels. Bearish derivatives data and technical indicators suggest further downside risks.
How this was made
The 30-second read
Why it matters
Higher inflation expectations raise the probability of a Fed rate hike, increasing risk‑off sentiment and pressuring risk‑sensitive crypto assets.
Market read
CPI‑driven macro shift directly impacts two major altcoins, suggesting near‑term downside risk.
What to watch
Potential inflows from institutional crypto funds could offset retail sell‑off despite macro headwinds.
Background
The article links the latest US CPI numbers to a sharp correction in XRP and XLM, highlighting technical breaches and bearish sentiment metrics.
Ticker impact
CPI data lifted rate‑hike expectations, pushing XRP below key EMA support and extending a 7% weekly drop.
downward pressure as traders price in tighter monetary policy
CPI surprise raised Fed‑hike odds; crypto is risk‑sensitive and already below EMA clusters.
Hot CPI data raised Fed‑hike odds, causing XLM to slip below $0.181 and extend an 11% weekly loss.
further downside as bearish sentiment intensifies
Technical support breached and macro backdrop is increasingly hostile to risk assets.
Market effects
Risk‑off pressure on crypto sector as higher‑rate expectations dampen demand for speculative assets.
US dollar strength may further pressure altcoins globally.
CPI‑driven Fed outlook influences worldwide crypto markets.
Counterpoint
If the Fed signals a more cautious stance later, crypto could rebound on a short‑cover rally.
Key entities
- companyRipple
Issuer of XRP token.
- companyStellar
Issuer of XLM token.
