XRP ETF could gain approval in 2025, Ripple holders await 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…
— Nate Geraci (@NateGeraci) May 27, 2024
Now people talking about sol & xrp ETFs.
Wild turn of events.
- 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.
Ripple FAQs
Ripple is a payments company that specializes in cross-border remittance. The company does this by leveraging blockchain technology. RippleNet is a network used for payments transfer created by Ripple Labs Inc. and is open to financial institutions worldwide. The company also leverages the XRP token.
XRP is the native token of the decentralized blockchain XRPLedger. The token is used by Ripple Labs to facilitate transactions on the XRPLedger, helping financial institutions transfer value in a borderless manner. XRP therefore facilitates trustless and instant payments on the XRPLedger chain, helping financial firms save on the cost of transacting worldwide.
XRPLedger is based on a distributed ledger technology and the blockchain using XRP to power transactions. The ledger is different from other blockchains as it has a built-in inflammatory protocol that helps fight spam and distributed denial-of-service (DDOS) attacks. The XRPL is maintained by a peer-to-peer network known as the global XRP Ledger community.
XRP uses the interledger standard. This is a blockchain protocol that aids payments across different networks. For instance, XRP’s blockchain can connect the ledgers of two or more banks. This effectively removes intermediaries and the need for centralization in the system. XRP acts as the native token of the XRPLedger blockchain engineered by Jed McCaleb, Arthur Britto and David Schwartz.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
