Following the likely approval of Bitcoin Spot ETFs, Eleanor Terret of Fox Business provided the opinions of prominent figures in the cryptocurrency space regarding why the US Securities and Exchange Commission may soon allow Ethereum and Ripple XRP Spot ETFs.
Bulls of XRP and Steven McClurg, CIO of Valkyrie Funds, are certain that the regulator will approve the Ethereum Spot ETF and XRP.
The XRP Spot ETF is one product that the SEC may approve.
Eleanor Terret, a reporter for Fox Business, discussed her chat with Steven McClurg, CIO of Valkyrie Fund, and participants in the cryptocurrency market, including bulls and bears. Their opinions on the possibility of the SEC approving an XRP Spot ETF with just one product differ.
The foundation of the bullish case is the fact that XRP is the only cryptocurrency to have received regulatory certainty from the US District Court. This alludes to the July 13 XRP verdict by Judge Analisa Torres, which declared that XRP was not a security during its “secondary sales” on exchange platforms. This clarity facilitated the relisting of XRP on well-known cryptocurrency exchanges like Coinbase and Kraken.
The recent relisting of XRP by Grayscale’s Digital Large Cap Fund is interpreted as a sign that the massive cryptocurrency asset management company may incorporate the altcoin into upcoming funds.
According to Steven McClurg, it wouldn’t surprise him if Ethereum and XRP ETFs were to launch once the SEC is almost done approving the Bitcoin Spot ETF.
The bearish scenario is that, in the absence of legislative action on cryptocurrency regulation, the opinions expressed by SEC Commissioner Gary Gensler on cryptocurrencies other than Bitcoin could have a detrimental impact on a bid for an Ethereum or XRP Spot ETF. Terret contends that the same is probably going to require a switch to an administration with a “crypto-positive” mindset.
Additionally, it is likely that Bitcoin will stand out from other cryptocurrencies once Bitcoin Spot ETFs are permitted. Rejections of spot ETFs for other assets, such as XRP and Ethereum, may come after this distinction.
Ethereum gains as a “sell the news” move hits BTC.
Vetle Lunde, Senior Analyst at K33 Research, clarified in a recent tweet on X the capped rises in the price of Bitcoin subsequent to the adoption of the Bitcoin Spot ETF. According to Lunde, it’s possible that Bitcoin traders are making a “sell the news” trade in response to the news of ETF approval.
Remarkably, the price of Ethereum surged, and cryptocurrency analysts observed that money will probably shift from Bitcoin to Ethereum, boosting the latter’s gains. The results of Tuesday’s events, according to cryptocurrency analyst Scott Melker, may serve as a guide when the SEC releases its verdict regarding the Bitcoin Spot ETF.