Key Takeaways:
- Trump announced new tariff policies at the ceremony hosted in the Rose Garden, aggravating US trade partners as well as competitors.
- Major countries like China and the EU threaten to impose countermeasures against the US, which could further escalate the situation and potentially lead to trade wars.
- Following the announcement, Ripple’s XRP has gone down by over 5% after gaining a 2% growth from its new stablecoin RLUSD’s listing on Kraken.
RLUSD Launches on Ripple Payments
Ripple has officially unveiled their integration of its US-pegged stablecoin, RLUSD, into its cross-border payments system called Ripple Payments. In the era where stablecoins are changing into a rapidly evolving financial asset class, Ripple’s entry into the highly competitive market has come to fruition after the NYDFS (New York Department of Financial Services) approval in December.
So far, only a select few payment customers and other cross-border payment providers like BKK Forex and iSend were the only ones associated with Ripple to dip their hands into the stablecoin transactions, and this was done in regard to improving their treasury operations. The current aim of the Ripple industry is to expand these stablecoin use cases and to make them available to all their customers.
Trump Introduces New Tariffs, Shocking US Trade Partners
At a ceremony hosted in the Rose Garden, President Donald Trump announced new tariff plans, marking a sharp turn for the US trade policies. Based on these new announcements, the US will now charge a 10% tariff on all the imports coming into the country, with some nations, especially the ones that the White House considers bad actors on trade, being charged a much higher rate than the rest.
These new trade policies have greatly impacted the US trade relations with many competing countries like China. Trump’s declaration of this set of moves as the “Liberation for the US Trades” hasn’t also sat well with them. China, which is now facing a fresh 34% tariff on top of the 20% that was imposed prior to this, and the EU, who are now pound to pay 20% tariff, had actively declared warning to the US that such moves will end result in the implementation of serious countermeasures, which could potentially lead to a trade war.
XRP Plummets As Potential Trade Wars On Horizon
Trump’s new tariff implementation has created a huge blow in the cryptocurrency ecosystem, with many traders and investors turning towards bonds and gold in this uncertain period. Among the coins that plummeted as a result of this is the Ripple XRP token. The XRP, which has risen over 2% from its RLUSD listing on Kraken, has fallen by over 5% in the past 24 hours, driven down by increased selling pressure.
This rapid decline commenced just hours after the new tariff announcement. The coin has recorded selling activity on exchanges, which resulted in the liquidation of over $17.26 million in Futures. This puts the total amount liquidated for short and long positions at $6.59 million and $10.67 million, respectively. If the geopolitical tension escalates further, we might see the coin plummeting further in the market in the coming days.
XRP Current Market Statistics & Future Outlook
As of 3rd April 2025, the XPR token is ranked #4 on its market capitalization, estimated to be $119.79 billion, with a circulating supply of 58.2 billion tokens. The coin is currently listed on major exchanges like Binance and is trading at $2.05, registering a downtrend of 1% from the previous day and maintaining a key support level at $1.96.
The Relative Strength Index (RSI) is showing a value of 38, well below its neutral level, with the Stochastic Oscillator also in the oversold region. This is a clear indication of an extreme bearish trend for the token. Based on these data, we can assume that if the XRP fails to hold its key support levels and breaks below its 200-day SMA, it could result in the formation of a H&S Pattern, which could send the token to as low as $1.35.