XRP Surpasses USDT, Eyes ETH as BTC Soars to $118K: Crypto Market Update
Surge in XRP ETFs Signals Potential Market Shift
XRP ETFs Experience Unprecedented Volume Growth
Eric Balchunas, a Senior ETF Analyst at Bloomberg Intelligence, highlighted a remarkable increase in trading volume for XRP ETFs, noting a surge of 4-5 times the usual activity. The Teucrium 2x Long Daily XRP ETF, known as XXRP, has seen a staggering 27% increase today and a 55% rise this week, with trading volumes reaching $120 million. This uptick suggests a growing interest in XRP-spot ETFs, which could potentially overshadow the market for US ETH-spot ETFs.
The resolution of the ongoing Ripple case could accelerate the approval process for pending XRP-spot ETF applications. Industry giants like BlackRock may also consider filing for an XRP-spot ETF if the case concludes favorably, which could be pivotal for the establishment of a robust XRP-spot ETF market.
Grayscale Challenges SEC on ETF Approval
Speculation surrounding the SEC’s approval of XRP-spot ETFs has intensified following the SEC’s recent decision to allow Grayscale to modify its Digital Large Cap Fund (GDLC) into the Grayscale Digital Large Cap ETF (GDLC) as of July 1. This ETF would provide investors with exposure to major cryptocurrencies, including BTC, ETH, ADA, SOL, and XRP, although the SEC has issued a stay order that delays its launch.
On July 11, Bloomberg Intelligence Analyst James Seyffart reported that Grayscale and its legal team have responded to the SEC’s stay order, asserting that the SEC lacks the authority to impose such a delay. The SEC’s forthcoming response is expected to attract considerable attention. Grayscale’s successful appeal against the SEC’s earlier rejection of its Bitcoin Trust conversion into a spot ETF has already set a precedent, paving the way for a US BTC-spot ETF market. This development has significantly contributed to Bitcoin’s recent price surge, which reached a record high of $118,288 on July 11. In contrast, XRP, despite hitting a five-month peak of $2.9763 on the same day, remains far from its all-time high of $3.5505.
The launch of an XRP-spot ETF could potentially enable XRP to surpass Ethereum in market capitalization rankings.
XRP Price Forecast: Key Factors to Watch
On July 11, XRP experienced a notable increase of 7.31%, following a 5.84% rise the previous day, closing at $2.7324. This performance outpaced the overall cryptocurrency market, which saw a modest gain of 1.40%, bringing the total market capitalization to $3.62 trillion.
The future price trajectory of XRP will largely depend on the SEC’s appeal vote, developments in US crypto legislation, and updates regarding XRP-spot ETFs. A breakout above the July 11 high of $2.9727 could set the stage for a rise toward the 2025 high of $3.3999. If XRP maintains momentum above this level, bulls may aim for the 2018 all-time high of $3.5505.
Conversely, if XRP falls below the $2.50 mark, it could test the $2.40 level, potentially leading to a revisit of the $2.30 support area.
