Crypto Analysts Warn: Spot Bitcoin ETF Approval Could Send XRP Price to $5, $10 and Beyond
Cryptocurrency analysts have recently emphasized the immense opportunity that could arise from the approval of a spot Bitcoin ETF, stating that it would be unwise not to aggressively accumulate Bitcoin (BTC) at current levels. These experts believe that the US Securities and Exchange Commission (SEC) will eventually approve all filed spot Bitcoin ETFs simultaneously, as Grayscale Investments has requested a meeting with the SEC to discuss the way forward.
Although the SEC has been resistant to approving a spot Bitcoin ETF, most analysts consider it to be inevitable. The approval of a spot Bitcoin ETF would attract institutional investors and unlock billions of dollars for the crypto market, potentially leading to a new bull market that drives cryptocurrencies to new all-time highs.
In a recent report, analysts from K33 (formerly Arcane Research) highlighted the massive potential that a spot Bitcoin ETF holds. They firmly believe that it would be irresponsible not to aggressively accumulate BTC at current price levels. According to K33 senior analyst Vetle Lunde and vice president Anders Helseth, the chances of a spot Bitcoin ETF approval have significantly improved in the last three months.
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This optimistic outlook is supported by Grayscale Investments’ recent victory over the SEC. A three-judge panel determined that the denial of Grayscale’s proposal for a spot Bitcoin offering was “arbitrary and capricious.” This decision indicates that the SEC lacks a legal basis to deny a spot Bitcoin ETF. Furthermore, Bloomberg analysts predict a 75 percent chance of the SEC approving a spot Bitcoin ETF before the end of the year. Bloomberg’s Senior ETF Analyst, Eric Balchunas, even expects that BlackRock’s Bitcoin ETF could release a monumental $30 trillion into the crypto market.
The K33 analysts argue that the approval of a spot Bitcoin ETF would attract significant inflows, creating strong buying pressure and driving prices higher. This prediction aligns with historical trends, as the market leader (Bitcoin) often sets the trajectory for the rest of the market. Consequently, altcoins such as Ethereum (ETH) and Ripple (XRP) are likely to benefit from the increased investment in Bitcoin.
In particular, the approval of a spot Bitcoin ETF could open the floodgates for other ETFs, including those focused on Ethereum. Some firms have already filed for Ethereum ETFs, and K33 analysts have expressed optimism for ETH’s performance in the next two months. They anticipate that a futures-based Ether ETF, likely to be approved in mid-October, will outperform Bitcoin.
Bernstein analysts have also highlighted the potential for crypto ETFs to extend beyond Bitcoin and encompass multiple crypto assets. An XRP ETF, for example, could integrate with Ripple’s On-Demand Liquidity (ODL) protocol, making it more attractive to investors than other ETFs.
If a spot Bitcoin ETF is approved, Ripple (XRP) is expected to experience a significant price surge. The influx of investment into Bitcoin, the market leader, would trickle down into altcoins such as XRP. As a result, analysts believe that XRP could reach new all-time highs of $5, $10, and even beyond.
In conclusion, analysts and experts across the crypto industry anticipate that the SEC will eventually approve a spot Bitcoin ETF, unlocking substantial investment in the market. This approval could trigger a new bull market, propelling cryptocurrencies to new all-time highs. Ripple (XRP) is expected to benefit from this development and experience a significant price surge. As always, investors should conduct their own research and exercise caution before making any investment decisions in the crypto market.
