XRP ETF likely in 2025 per recent poll, holders await SEC lawsuit ruling
- Ripple validator conducted a poll that shows 65% respondents believe XRP ETF is likely in 2025.
- XRP holders await a ruling in the SEC vs. Ripple lawsuit that has dragged since 2020.
- XRP wiped out nearly 2% of its value on the day.
Ripple (XRP) holders are awaiting a ruling in the Securities and Exchange Commission’s (SEC) lawsuit against the payment remittance firm. A court ruling was awaited in May 2024, however there is no update, as of Monday, May 27.
XRP wiped out nearly 2% of its value on Binance, on Monday.
Daily Digest Market Movers: XRP Ledger validator conducts poll to gauge ETF optimism
- XRP Ledger validator on X, behind the handle @Vet_X0 recently conducted a poll to gauge the optimism among market participants.
- The validator’s poll had 876 respondents, of which 66% responded positively to the question, “Will there be an XRP ETF in 2025?”
Will there be an XRP ETF in 2025 ?
— Vet ☠️ (@Vet_X0) May 24, 2024
- Nearly 34% respondents answered in the negative, suggesting that a group of XRP holders/ market participants are not sure that the altcoin could see an ETF approval in 2025.
- Nate Geraci, President at The ETF Store Inc, an investment advisor firm notes that a week ago the crypto community believed that Spot Ethereum ETFs would be denied, in a turn of events, now there is talk of Solana (SOL) and XRP ETFs.
A week ago, everyone thought spot eth ETFs would be denied…
Now people talking about sol & xrp ETFs.
Wild turn of events.
— Nate Geraci (@NateGeraci) May 27, 2024
- While XRP holders attention has shifted to the likelihood of an XRP ETF approval by 2025, the community awaits a ruling in the SEC vs. Ripple lawsuit.
- In 2020, the SEC alleged that Ripple sold unregistered securities (XRP) to institutional clients and demanded $2 billion in penalties. There is a possibility of the SEC appealing the programmatic sales ruling by Judge Analisa Torres, where the judge says that the sale of XRP on exchange platforms (secondary market sales), do not constitute securities.
- Ripple has countered the SEC’s demand for $2 billion in fines with an offer of $10 million.
Technical analysis: XRP eyes nearly 7% gains
Ripple is currently in an uptrend, it started on April 18. The altcoin has consistently formed higher highs and higher lows, momentum indicators on the 1-day timeframe support the thesis of gains in XRP price.
XRP sustains above $0.5300 on Monday, nearly 1% gain on the day, and the green histogram bars on the Moving Average Convergence Divergence (MACD) indicator shows underlying positive momentum in Ripple’s uptrend.
The Relative Strength Index (RSI) reads 52.11, above the neutral level of 50, it signals bullishness in XRP’s trend.
The target is $0.5703, the April 22 and May 6 high for XRP price, 7.29% rally from the current level.
XRP/USDT 1-day price chart
The altcoin could find support at the May 13 low of $0.4866. Sweeping liquidity at this level could prepare the stage for a reattempt at recovery, since the altcoin has recovered from similar lows on several occasions between April 20 and May 26.
Cryptocurrency metrics FAQs
The developer or creator of each cryptocurrency decides on the total number of tokens that can be minted or issued. Only a certain number of these assets can be minted by mining, staking or other mechanisms. This is defined by the algorithm of the underlying blockchain technology. Since its inception, a total of 19,445,656 BTCs have been mined, which is the circulating supply of Bitcoin. On the other hand, circulating supply can also be decreased via actions such as burning tokens, or mistakenly sending assets to addresses of other incompatible blockchains.
Market capitalization is the result of multiplying the circulating supply of a certain asset by the asset’s current market value. For Bitcoin, the market capitalization at the beginning of August 2023 is above $570 billion, which is the result of the more than 19 million BTC in circulation multiplied by the Bitcoin price around $29,600.
Trading volume refers to the total number of tokens for a specific asset that has been transacted or exchanged between buyers and sellers within set trading hours, for example, 24 hours. It is used to gauge market sentiment, this metric combines all volumes on centralized exchanges and decentralized exchanges. Increasing trading volume often denotes the demand for a certain asset as more people are buying and selling the cryptocurrency.
Funding rates are a concept designed to encourage traders to take positions and ensure perpetual contract prices match spot markets. It defines a mechanism by exchanges to ensure that future prices and index prices periodic payments regularly converge. When the funding rate is positive, the price of the perpetual contract is higher than the mark price. This means traders who are bullish and have opened long positions pay traders who are in short positions. On the other hand, a negative funding rate means perpetual prices are below the mark price, and hence traders with short positions pay traders who have opened long positions.