XRP Continues Winning Streak Amid Positive SEC Developments
Date: February 16, 2025
Time: 04:25 GMT
In a notable turn of events for the cryptocurrency market, XRP has extended its winning streak to four consecutive days, following a gain of 0.91% today, building on a remarkable surge of 6.86% on Friday. The latest closing price for XRP is $2.7627, outperforming the broader crypto market, which experienced a slight downturn of 0.24%, bringing the total market capitalization down to approximately $3.18 trillion.
SEC Acknowledges XRP-Spot ETF Filings
A significant factor contributing to XRP’s upward momentum is the recent acknowledgment of spot-ETF applications related to XRP by the U.S. Securities and Exchange Commission (SEC). This week, the SEC recognized 19b-4 filings from key players in the crypto space, including Grayscale and 21Shares. This acknowledgment has spurred optimism among investors regarding a potential approval for an XRP-spot ETF, which could significantly elevate demand for the token.
The introduction of XRP-spot ETFs is anticipated to play a crucial role in driving the price of XRP, with some analysts speculating that reaching or surpassing the all-time high of $3.5505 set in January 2018 is within reach. To illustrate the potential impact of such financial products, Bitcoin, which saw the launch of its own spot ETFs in early 2023, soared to a record high of $109,312.
Other firms that are also awaiting acknowledgment from the SEC for their XRP-spot ETF applications include Bitwise, Canary Funds, and WisdomTree, highlighting a growing interest in this asset class.
Speculation Surrounding Ripple Case and SEC’s Appeal
In addition to the positive sentiment surrounding XRP-spot ETF filings, speculation is rife regarding the SEC’s potential withdrawal of its appeal in the ongoing case against Ripple. The SEC had filed an appeal on January 15 related to a court ruling on the Programmatic Sales of XRP. Following significant leadership changes within the SEC, including the resignation of former Chair Gary Gensler and the appointment of Mark Ueda as acting Chair, many are analyzing how these shifts may influence the regulatory landscape for cryptocurrencies.
Recent developments indicate that the newly established Crypto Task Force within the SEC is working towards resolving longstanding tensions between the agency and the cryptocurrency sector. A notable development occurred on February 10, when the SEC and Binance jointly filed a motion requesting a 60-day stay of legal proceedings, citing the potential for a resolution influenced by the Crypto Task Force. Similarly, the SEC has sought a 28-day extension in its response to Coinbase’s motion for an interlocutory appeal, referencing the significance of the Crypto Task Force.
Analysts are cautiously optimistic that these adjustments within the SEC may lead to a withdrawal of the appeal in the Ripple case. However, a final decision from the SEC may depend on the expected confirmation of Paul Atkins.
Future Price Action and the Impact of Regulatory Uncertainty
The near-term trajectory for XRP remains closely tied to forthcoming developments surrounding the SEC’s appeal strategy and the potential approval of XRP-spot ETFs. A withdrawal of the appeal could catalyze a significant breakout for XRP, possibly propelling it above its all-time high and reaching targets of $4. Conversely, should the SEC pursue its appeal, XRP may face downward pressure, potentially retreating to levels around $1.50.
Technical indicators show that XRP presently sits above both the 50-day and 200-day Exponential Moving Averages (EMA), signaling bullish sentiment. Should XRP revisit the $3 mark, traders may eye a high of $3.3999 reached on January 16 for further bullish indicators.
Nevertheless, regulatory uncertainty continues to loom over XRP’s price movements. External macroeconomic factors, such as U.S. tariffs and expectations of Federal Reserve rate cuts, may also play significant roles in shaping investor sentiment and market dynamics.
Investors and market participants are encouraged to closely monitor the SEC’s forthcoming actions, as these will likely have implications for the next major directional move in XRP’s price.
About the Author
Bob, with over 28 years of experience in the financial industry, specializes in currencies, commodities, alternative asset classes, and global equities, with an emphasis on European and Asian markets. His insights are drawn from a wealth of experience with global rating agencies and multinational banks.
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