AD
AD
News

Game-Changer Alert: Ethereum and Ripple (XRP) ETFs Teeter on the Edge of Approval for April 2024

Collin BrownBy 0Edited by Jeff Taylor 16. January 20243 Mins Read
  • Ethereum ETFs may receive SEC approval by May 2024, following positive insights from Bloomberg Analysts and interest from major financial players like BlackRock.
  • Ripple (XRP) ETFs face more uncertainty, with approval dependent on the outcome of Ripple’s ongoing court case and the establishment of a CFTC-regulated futures market.

BlackRock CEO Larry Fink has shown a keen interest in an Ethereum ETF. He acknowledges the potential value of such an investment vehicle in a tweet, underlining its importance as a step toward broader tokenization and the evolution of technology.

Furthering this discussion, CNF references insights from Bloomberg Analyst Eric Balchunas, who presents a positive forecast regarding the SEC’s position on Ethereum ETFs. According to Balchunas’ analysis, as detailed in the CNF report, there’s a notable 70% probability of the SEC sanctioning an Ethereum ETF by May 2024.

This follows the noteworthy approval of a BTC spot ETF on January 10. Balchunas points out that Ethereum could follow suit after this deadline. His analysis implies that Ethereum might soon join Bitcoin in the realm of mainstream financial products, marking a pivotal moment in the acceptance and integration of cryptocurrencies in the financial sector.

Acknowledging its potential value in a recent tweet. He views such developments as pivotal steps toward wider tokenization and the future of technology.

Currently, the SEC is reviewing multiple Ethereum ETF applications. A decision is expected by May, with BlackRock, Grayscale, and other asset managers poised to potentially receive authorization for ETH-based ETFs.

However, the situation with Ripple (XRP) ETFs is more complex. Much of the excitement is fueled by crypto influencers and the “XRP Army.” While Grayscale has reintroduced XRP to its fund, Valkyrie Funds’ CIO Steven McClurg has hinted at the possibility of Ripple joining the ETF market, pending the SEC’s approval.

Bloomberg Analyst James Seyffarth, however, offers a more cautious view. Responding to an inquiry on Twitter, Seyffarth mentioned that Ripple needs to win its ongoing court case and establish a CFTC-regulated futures market before considering an ETF. He believes that this is unlikely to happen by 2024.

Currently, XRP is trading at $0.5753, showing a 5.46% decrease over the last day, yet it has managed a slight recovery of 0.85% over the past week. This indicates a short-term volatility contrasted with a subtle positive trend in the longer term, possibly influenced by market sentiments around the evolving discussions in the cryptocurrency sector.

Furthermore, These fluctuations, characterized by short-term dips and gradual recoveries, reflect the market’s response to various factors, including speculation and investor sentiment. This market behavior is particularly noteworthy as the cryptocurrency community eagerly anticipates potential developments regarding Ethereum and Ripple (XRP) ETFs. Such approvals, expected to be decided by April 2024, could significantly impact the market, marking them as potential game-changers.

Recommended for you:

Subscribe to our daily newsletter!


>> Subscribe <<

          No spam, no lies, only insights. You can unsubscribe at any time.

This article is provided for informational purposes only and is not intended as investment advice. The content does not constitute a recommendation to buy, sell, or hold any securities or financial instruments. Readers should conduct their own research and consult with financial advisors before making investment decisions. The information presented may not be current and could become outdated.

Related Posts

Exit mobile version