XRPUSD – Daily Chart – 120425
See our full XRP forecast here.
Bitcoin Rallies as Trump Repeals Crypto Tax Rule
XRP’s gains coincided with a bitcoin (BTC) rally after President Trump signed the first crypto legislation into law. Bo Hines, Head of Trump’s Digital Assets Advisory Council, commented:
“Huge moment! First crypto legislation ever signed into law. Repealing the IRS’s DeFi broker rule protects innovation and privacy – another big step toward ushering in a gold age for digital assets.”
The US Congress passed the bill with bipartisan support (House: 239-132 vote, Senate: 70:28 vote). The repealed rule imposed standard crypto broker reporting requirements, including stringent KYC on DeFi platforms. The new regulatory shift may create a more favorable environment for digital assets.
Ripple CEO Brad Garlinghouse took a bullish price outlook for BTC amid the shifting regulatory landscape, stating,
“I think $200,000 is not unreasonable. I think before, I’ve kind of said $175,000 or around there. The largest economy in the world, the United States, went from headwinds, hostility, to tailwinds. And I think people are still not fully quantifying how significant that is to have the largest economy in the world, the largest asset managers in the world go from relatively frozen out or hostile to now a friendly market that has sensible regulations, that is thinking about pro-innovation here at home.”
US BTC-Spot ETF Market Extends Outflow Streak
Notably, the US BTC-spot ETF market reflected ongoing concerns about US tariffs and the economic outlook. According to Farside Investors, key flows for April 11 included:
- ARK 21Shares Bitcoin ETF (ARKB) reported net inflows of $11.3 million.
- Meanwhile, Bitwise Bitcoin ETF (BITB) had net outflows of $12.3 million.
Total US BTC-spot ETF ouflows reached $1 million, extending the outflow streak to seven sessions. Continued outflows would pressure BTC’s supply-demand balance and price trends.
BTC Price Outlook: Bearish vs. Bullish Scenarios
On April 11, BTC advanced 4.75%, reversing Thursday’s 3.63% loss, closing at $83,371.
Near-term scenarios include:
- Bearish Scenario: Renewed trade war tensions, poor US economic indicators, a hawkish Fed stance, continued ETF outflows, or opposition to the Bitcoin Act could send BTC toward $70,000.
- Bullish Scenario: A de-escalation in trade tensions, dovish Fed signals, bipartisan momentum behind the Bitcoin Act, and consistent ETF inflows may lift BTC toward $109,312.
