A new analytical report dedicated to the cryptocurrency market and the prospects for launching exchange-traded funds based on altcoins has been released on the Kaiko Research platform. In the document, experts compare the capabilities of various cryptocurrencies, focusing on the dominance of XRP and Solana.
This is reported by Business • Media
Forecast for Approval of XRP-ETF by US Regulators
Analysts are convinced that the next regulatory bodies in the USA, particularly the Securities and Exchange Commission (SEC), may approve a spot XRP-ETF. In their analysis, specialists consider market depth and trading volumes on American cryptocurrency exchanges.
According to the research, among all the proposed altcoin-based ETFs in the USA, XRP and Solana have the highest chances of receiving approval first. They noted that these assets demonstrate the greatest liquidity and activity.
Liquidity and Trading Volumes of XRP and Solana
According to analysts, XRP significantly outpaces Solana in market depth, although overall, Solana has a higher liquidity rate. Charts indicate that since the end of 2024, spot trading volumes of XRP have increased significantly, while Solana is experiencing a downward trend.
XRP also stands out with high trading volumes on American cryptocurrency exchanges. The report emphasizes that this indicator is one of the key criteria when analyzing the likelihood of the SEC approving new cryptocurrency products. Experts highlight that the approval of spot Bitcoin ETFs was influenced by the SEC’s decision in the case against Grayscale Investments, which exhibited controversial actions with the regulator.
Given this situation, the regulator has taken steps to open futures trading and is now considering allowing trading of spot assets. XRP stands out in this context as it lacks an active futures market; however, its share in spot trading on American platforms is gradually increasing and has already exceeded 20%. Meanwhile, Solana’s share has decreased to 16%, having fluctuated between 25% and 30% in 2022.
According to the research, this trend indicates XRP’s potential for further growth and the possibility of rapid approval by the regulator. Experts note that the launch of the XRP-ETF last week and the improvement in market indicators place this cryptocurrency in a favorable position regarding future regulatory approval.
“This trend of improving fundamental market indicators and the launch of two XRP-ETFs last week puts the asset ahead of other altcoins when it comes to SEC approval. At the same time, it should be noted that some tokens, such as Litecoin, with very similar mechanisms, may also have a clear path to approval,” analysts state.
One example of an XRP-ETF that has already been launched in the USA is the Teucrium 2x Long Daily XRP ETF – a leveraged exchange-traded fund that is also attracting investor attention.