Ripple Update: XRP Surges 66% in Two Weeks; ​Growing Buzz Around XRP ETF Approval

New Market Trends and the Performance of XRP 

With the current crypto market meltdown, top cryptocurrencies have seen a big dip, which might mean that FUD (fear, uncertainty, doubt) is on the rise. On the other hand, XRP's price has seen a far lower drop and a less severe price rejection, which might indicate that it is about to come back.

Crypto influencer Wise Advice said that XRP is among the market's best performers, having witnessed a 66% spike over the previous two weeks and a 27% growth over the last month. Rumors regarding the potential early approval of an XRP ETF have renewed excitement within the XRP community, thanks to this bounce. Major bulls have just endorsed Ripple, which might change the result of the lingering skepticism over Ripple ETFs caused by the SEC's legal difficulties.

 Positive Indicators: XRP Metrics on the Rise

According to a recent X article by Wise Advice, XRP Ledger is booming, especially when it comes to adding new, active addresses. On one day, we saw 1,721 new wallets while on another, we topped 47,000 active addresses—the greatest levels since March. Furthermore, crypto whales have amassed more than 140 million XRP, which is valued at $84 million, indicating robust growth and investor optimism.

 

Impact of SBI Holdings, If Any

The popularity of Ripple in the United States has prompted SBI Holdings to think about teaming up with Franklin Templeton to bring Bitcoin ETFs to Japan and maybe even Ripple ETFs to the United States, as reported by Wise Advice. SBI Holdings has been an advocate for Ripple technology for quite some time and is a staunch XRP backer. As an example, it has worked with many Japanese banks on Ripple's payment system and established SBI Ripple Asia in 2016. Based on their past collaborations, SBI Holdings may lobby for an XRP ETF in the US. 

Difficulties with Approval of the XRP ETF 

There are significant roadblocks to the rapid approval of an XRP ETF, albeit these encouraging indicators. Solana and Ripple ETFs are not expected to be approved anytime soon, according to Robert Mitchnick of BlackRock, who voiced his concerns about their immaturity and liquidity at the Bitcoin Conference 2024. 

Also, Ripple is still facing some serious problems because to the SEC litigation that was started in 2020 and is about unregistered securities offerings. The lawsuit may be over by the end of July 2024, according to XRP attorney Fred Rispoli. 

Approval Process for the XRP ETF 

Sufficient liquidity, regulatory backing, and high demand are crucial for an XRP ETF to be approved. Problems may arise since XRP's present trading volume is smaller than Ethereum's. There is, however, mounting suspicion that Donald Trump's incorporation of Ripple and Solana ETFs into his presidential campaign may hasten their acceptance in the event that he is elected. 

Crypto ETFs and Their Market-Wide Effects 

There may be far-reaching consequences for the market as a whole if crypto ETFs like XRP are introduced. Institutional investors can invest in cryptocurrencies through exchange-traded funds (ETFs), which offer a regulated and safer alternative to direct asset exposure. This has the potential to increase demand for XRP by attracting investment from institutional and individual investors alike, including pension funds and asset managers.

After Bitcoin ETFs opened the door for altcoin ETFs, Ripple's participation might provide altcoins a boost in legitimacy. More risk-averse investors may find ETFs appealing because, according to analysts, they might eventually drive market maturity and decrease volatility. 

The Potential Impact of SEC Regulations on XRP's Future 

A major obstacle for XRP has been the position of the SEC on the regulation of cryptocurrencies. The outcome of Ripple's case might alleviate regulatory worries over other cryptocurrencies if it is successful. The whole cryptocurrency market, and XRP in particular, hangs in the balance until this issue is decided. 

Gary Gensler, chair of the SEC, has called for further regulation of cryptocurrencies, saying that they are too frequently used for speculation. If the case succeeds in having Ripple deemed a security, it has the potential to change the way the law views cryptocurrencies and maybe prompt more stringent regulations generally. 

The Potential Long-Term Benefits of XRP and Its Use Cases

Proponents of XRP point to its usefulness in areas like decentralized finance (DeFi), smart contracts, and international payments, in addition to its popularity in speculation. The low costs, quick transactions, and energy-efficient consensus method of Ripple's technology have led to its widespread adoption by financial institutions. Beyond its price movement, XRP's long-term worth may be enhanced if it can remain relevant through these use cases. 

As part of its strategy to establish itself as a frontrunner in the financial technology industry, Ripple has teamed up with organizations throughout the globe to deploy its payment solutions. The continued growth of these collaborations, together with XRP's utility, might lead to ongoing demand, irrespective of short-term market movements. 

How XRP Whales Influence Market Trends 

Individuals or institutions with huge XRP holdings, known as "whales," have a substantial impact on market fluctuations. Their purchases and sales have the potential to impact market sentiment, liquidity, and price patterns. An optimistic indication suggesting confidence in XRP's future might be the recent accumulation of XRP by whales. 

Big XRP trades have been more active recently, according to whale tracking services. This is usually before major market announcements like ETFs or legal developments. If ordinary investors are serious about keeping up with market developments, they must understand how whales behave.

 

An Evaluation of XRP in Relation to Ethereum and Solana 

Some of the most prominent blockchain networks in the cryptocurrency industry regularly draw comparisons to XRP, including Ethereum and Solana. For now, XRP is still concentrating on payment solutions and institutional use cases, while Ethereum is leading the way with smart contracts and DeFi applications. Because of its quickly expanding ecosystem, Solana, which is renowned for its lightning-fast transactions, presents formidable competition. 

Although Ethereum has more users than any other blockchain, XRP stands out due to its unique use in the banking industry. Due to Solana's recent problems, like as network disruptions, XRP may have an advantage in terms of dependability for financial applications. 

In summary 

Regulatory clearance and market liquidity are two of the many obstacles that still need to be overcome before an XRP ETF can be considered, despite the fact that XRP has recently shown encouraging performance and the prospect of such an investment is creating enthusiasm. Institutional investment and wider market acceptance might be sped up with the launch of crypto ETFs, which could completely alter the game. Over the next several months, keep an eye on XRP as the SEC case develops and the cryptocurrency market changes.