XRP ETF Approval Likely by 2025, Market Confidence at 87%

An expert has predicted that the approval of an XRP exchange-traded fund (ETF) by the U.S. Securities and Exchange Commission (SEC) is now only a matter of time. This prediction comes as market confidence in the possibility of an XRP ETF approval has significantly increased. Betting platforms, such as Polymarket, indicate an 87% chance that the SEC will approve an XRP ETF by the end of 2025.

This optimism follows Ripple's recent court victory against the SEC, which has removed a major obstacle preventing financial institutions from adopting its cryptocurrency. The court settlement has boosted investor trust in the SEC's approval process for an XRP ETF, leading many investors to expect approval.

Nate Geraci, the president of The ETF Store, believes that an XRP ETF approval is destined to happen. He predicts that asset managers like BlackRock and Fidelity will dominate the space. Geraci explains that XRP's rising market cap position as the third non-stablecoin cryptocurrency provides institutional investors with an appealing opportunity. "With Ripple’s legal troubles now behind it, the path to an XRP ETF approval seems clearer than ever," Geraci noted.

An increasing number of market participants expect XRP ETF approval, as shown by Polymarket’s statistical analysis. This indicates widespread belief that the regulatory hurdles for the cryptocurrency are nearly cleared. The introduction of an XRP ETF could trigger increased institutional interest, much in the same way Bitcoin and Ethereum ETFs gained investor attention. An XRP ETF’s market entry would help traditional investors view digital assets more favorably because Bitcoin and Ethereum already demonstrated successful ETF integration.

Major financial institutions like BlackRock and Fidelity will be instrumental in creating an XRP ETF. Analysts predict BlackRock will shift its focus from Bitcoin and Ethereum to XRP ETFs because the cryptocurrency exhibits strong institutional appeal. BlackRock’s head of ETFs, Jay Jacobs, had earlier stated that altcoins like XRP and Solana are not currently on their agenda. However, experts argue that the growing market demand and regulatory developments around XRP could soon change BlackRock’s stance.

Large asset managers including Fidelity play crucial roles when it comes to this particular market segment. The regulatory approval of XRP ETFs by the SEC will allow these financial institutions to launch XRP-related products. Such high-profile firms’ participation will speed up both the adoption and institutional utilization of XRP within portfolios.

As the market anticipates the approval of an XRP ETF, different analysts have made bold price predictions for XRP. Renowned trader Peter Brandt has recently shared his technical analysis, highlighting a potential head and shoulders pattern in XRP’s price. This pattern suggests that if XRP falls below a certain level, it could lead to significant losses, with a target price of around $1.07. However, Brandt also acknowledged that if the cryptocurrency stays above the $3 mark, shorting XRP could be risky.

On the other hand, cryptocurrency index fund manager Bitwise has offered a more optimistic price projection. Bitwise estimates that XRP could soar to as high as $29.32 by the end of the decade, assuming the cryptocurrency captures a meaningful share of the payments and tokenization sectors. In their “bull scenario,” Bitwise projects a price of $12.70 by 2030.