Connect with us

24/7 Cryptocurrency News

How High Could XRP Price Go If An XRP ETF Is Approved?

Published

3 hours ago

on


An XRP ETF is undoubtedly a huge positive for the XRP Price if the pending applications eventually get approved by the US Securities and Exchange Commission (SEC). Several crypto analysts have weighed in on how the crypto’s price could rise, considering that an ETF would attract more institutional investors in the XRP ecosystem.

XRP Price Could Reach $1,000 With ETF

Crypto analysts like BarriC have suggested that the crypto’s price can rise to as high as $1,000 if the SEC approves an XRP ETF. The analyst cited the success of the Bitcoin ETFs to explain why he is confident the XRP price can reach such an ambitious price target within the next five to ten years. BarriC mentioned how new money would flow into the XRP ecosystem through these funds, leading to massive price rallies.

Crypto analyst CryptoTank also claimed that the XRP price can reach $1,000 thanks to these potential ETFs. The analyst noted how much XRP tokens asset managers like Bitwise and Canary Capital could potentially hold for their respective XRP ETFs. In line with this, he believes that there would be a supply shock as these asset managers accumulate more tokens for their funds.

For context, SoSoValue data shows that the Spot Bitcoin ETFs hold $58.66 billion worth of BTC in net assets, and the Spot Ethereum ETFs hold $6.74 billion worth of ETH in net assets. Therefore, the XRP ETFs could witness a fraction of the demand for the Spot BTC and ETH ETFs, holding millions of dollars in XRP as net assets.

A Rise To Current ATH In The Short Term

In the short term, the XRP price can reach its current all-time high (ATH) of $3.84. This is possible considering the Bitcoin price surged to a new all-time high not long after the Spot Bitcoin ETFs went live. Although the ETH price hasn’t reached a new all-time high since the launch of the Spot Ethereum ETFs, it is worth mentioning that XRP won’t face the kind of selling pressure ETH faced thanks to the Grayscale ETH ETFs.

Grayscale has yet to apply to convert its Grayscale XRP Trust to an XRP ETF, meaning there is no selling pressure if the SEC approves Bitwise and Canary Capital’s applications today. Moreover, the Grayscale XRP Trust holds only about $2.1 million in assets under management (AuM). Therefore, the XRP ETFs are downright bullish for the crypto.

In the meantime, the focus remains on the SEC Ripple appeal, as developments in the case could determine how soon the SEC could approve an XRP ETF. Former SEC official Marc Fagel said the US SEC will appeal XRP secondary sales. This is a positive for the XRP price since it confirms that the Commission agrees with Judge Analisa Torres’ ruling that the crypto isn’t a security in itself.

The only ground on which the Commission could reject the pending applications is if it argues that XRP is a security. However, if the SEC has no objection, this clears the way for the launch of Bitwise and Canary Capital’s ETFs.

✓ Share:

Boluwatife Adeyemi

Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across DeFi, NFTs, smart contracts, and blockchain interoperability, among others. Boluwatife has a knack for simplifying the most technical concepts and making it easy for crypto newbies to understand. Away from writing, He is an avid basketball lover and a part-time degen.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





Source link

Related Topics:
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

24/7 Cryptocurrency News

AVAX Price Shoots 10% As Avalanche Foundation Announces Token Repurchase from Luna

Published

15 hours ago

on

October 12, 2024

By


The AVAX price has surged by a staggering 10% in the last few hours after the recent announcement by the Avalanche Foundation of a repurchase agreement with the Luna Foundation Guard (LFG) – the entity associated with Terra blockchain – to buy back all tokens sold back in 2022. This has pushed AVAX closer to $30 taking its market cap above $11.5 billion.

Avalanche Agreement With Luna Foundation

As per the latest announcement, the Avalanche Foundation has reached an agreement to repurchase all AVAX tokens sold to the Luna Foundation Guard (LFG) in April 2022. However, the deal is currently pending approval from the Bankruptcy court. The announcement has led to huge bullish momentum for the AVAX price as bulls rush to fill their bags beforehand.

Ahead of its bankruptcy back in the summer of 2022, LFG held a total of 1.97 million AVAX tokens worth a staggering $60 million. The Luna Foundation purchased AVAX as part of its reserves to boost the strength of its UST stablecoin.

This strategic decision from the Avalanche Foundation will prevent LFG from breaching the original agreement and restricting AVAX token usage. Besides, this move from Avalanche will protect the assets from the complexities of bankruptcy trustee liquidation. Earlier this year, LFG started moving its token following the Terraform Labs settlement with the US SEC.

Upon completion, the Avalanche Foundation will reclaim 1.97 million AVAX tokens, bolstering its capacity to foster growth and development within the Avalanche ecosystem.

AVAX Price Rally to Continue?

The repurchase of AVAX tokens has provided a major catalyst to the AVAX price bolstering confidence among investors. This massive purchase of 1.97 million tokens by Avalanche Foundation will significantly reduce the AVAX circulating supply thereby putting upward price pressure on the altcoin.

At press time, the Avalanche price is up 9.33% trading at $28.49. On the technical chart, the AVAX price is also forming a flawless breakout from the falling wedge pattern formation over the past few months.

Also, the Relative Strength Index (RSI) for AVAX stands at around 49.8 while the Moving Average Convergence Divergence (MACD) is positive at 0.19, signaling bullish momentum. Crypto analyst ‘Crypto Winkle’ hinted at further AVAX price surge if the bulls manage to break the crucial resistance past $30. Market analysts are already predicting the Avalanche price rally to $50.

Additionally, the Avalanche blockchain is turning out to be a preferred choice for traditional financial players to launch their products in the market. Earlier this week, Colombian neobank Littio shifted its base from the Ethereum to the Avalanche blockchain.

✓ Share:

Bhushan Akolkar

Bhushan is a FinTech enthusiast with a keen understanding of financial markets. His interest in economics and finance has led him to focus on emerging Blockchain technology and cryptocurrency markets. He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





Source link

Continue Reading

24/7 Cryptocurrency News

Ripple CEO Slams US SEC For XRP Security Claim In Bitnomial Case

Published

18 hours ago

on

October 12, 2024

By


Ripple CEO Brad Garlinghouse has accused the U.S. Securities and Exchange Commission (SEC) of ignoring a court decision that determined XRP is not a security as the regulator still claims. He made the remarks following the agency’s stand in the Bitnomial case which saw the crypto derivatives exchange go to court against the SEC over the classification of XRP futures.

Ripple CEO Slams US SEC For XRP Security Claim

Brad Garlinghouse voiced his anger regarding the US SEC’s actions in a post on X (formerly Twitter), noting that the agency does not seem to care that, according to a court’s decision, XRP is not a security. He pointed out that the agency’s behavior proves that it thinks it can act beyond the law, questioning the regulator’s responsibility.

Ripple’s Chief Legal Officer Stuart Alderoty also commented on the agency’s position in the Bitnomial case saying that one has to wonder about the legitimacy of a regulatory agency that simply ignores a court decision. According to Alderoty, the US SEC has embarked on unconstitutional aggressive measures in the case and this further erodes the credibility of the agency.

He cited a rather worrying situation where a regulatory body after being defeated in court orders compliance through threats of enforcement in clear disregard of court orders.

Bitnomial Lawsuit Challenges US SEC’s XRP Futures Stance

The case in Bitnomial involves the US SEC’s assertion that XRP futures are ‘security futures,’ which subjects them to more rules than those set by the Commodity Futures Trading Commission (CFTC). 

Bitnomial, a crypto derivatives exchange, declared that the XRP futures should fall under the jurisdiction of CFTC only, as XRP has not been registered as a security. In its complaint filed with the U.S. District Court for the Northern District of Illinois, Bitnomial claimed that the SEC’s requirement of the company to register as a national securities exchange is an undue regulatory burden.

Aligning with the Ripple CEO, the exchange also noted that the SEC’s position is in direct conflict with the court’s decision in the case where the court held that XRP itself was not a security. Bitnomial’s challenge is the latest in a long-standing feud between the agency and the crypto industry over the agency’s approach to regulating digital assets.

Concerns Over Regulatory Overreach

The Bitnomial case is the latest development in the U.S. Securities and Exchange Commission ongoing efforts to regulate cryptocurrencies. Despite losing the court battle with Ripple, the agency’s continued insistence that XRP is a security has drawn widespread criticism from the crypto community.

Aligning with the Ripple CEO, Pro-XRP lawyer Bill Morgan and other legal experts have accused the SEC of overreaching its authority and disregarding legal precedents.

Concurrent with Ripple CEO, John Deaton, who represented XRP holders in the Ripple case, also criticized the U.S. Securities and Exchange Commission’s conduct. He pointed out that the agency has been found to act “arbitrary and capricious” in its enforcement, a severe legal standard to meet. Deaton also referenced a recent case involving the crypto firm Digital Licensing (Debt Box), where the SEC was sanctioned for misconduct, further adding to concerns about the agency’s regulatory practices.

✓ Share:

Kelvin Munene Murithi

Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





Source link

Continue Reading

24/7 Cryptocurrency News

Telegram Gifts Go Live As Pavel Durov Celebrates 40th Birthday

Published

21 hours ago

on

October 11, 2024

By


Telegram Founder Pavel Durov recently turned 40, and to commemorate this event, he announced the launch of a special edition, “Gift.” Notably, Durov’s birthday also coincided with Telegram’s 11th anniversary. Durov took to Telegram to announce the release of this new limited-edition gift set. He claimed the popular BirthdayCollection emoji pack inspired it.

The Telegram Gift Edition

The “Gift” set includes three exclusively designed characters to celebrate this milestone. Therefore, they offer a fun and interactive experience for users. This Telegram Gift feature was initially introduced about a week ago. The reception from the Telegram community members was quite profound.

In a matter of 24 hours following the launch of the first two limited-edition gifts, which included 500,000 lollipops and 100,000 cherry blossom icons, the entire inventory sold out. Even Durov acknowledged the turnout, noting that the team did not expect the result in such a short time.

He assured the community members that the team behind the Gift will create a working system to handle sold-out products.

Additionally, Telegram intends to improve on the functionality of the newly introduced feature. The upgrade will include the users’ ability to convert their limited-edition gifts into Non-fungible tokens (NFTs) on The Open Network (TON).

Users would get the opportunity to tokenize their digital gifts. Later, these tokenized assets could then be traded or auctioned on external blockchain platforms.

Pavel Durov Arrest, Release and Global Scrutiny

Noteworthy, Durov is celebrating this 40th birthday after a narrow escape from legal actions. He was arrested recently in France over some privacy compliance issues. His arrest brought some strain on Telegram’s operations. After mounted global pressure, the Telegram CEO was later released four days after but kept under judicial supervision.

The conditions of his release included the fact that the Russian-born tech mogul is not allowed to leave the territory of France. He was also asked to pay €5 million bail and report to the police twice weekly.

So far, Telegram has been under scrutiny in several regions including India and South Korea. It is worth noting that Telegram faces risk of a ban in India as it was recently used in a major data leak.

✓ Share:

Godfrey Benjamin

Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.

Follow him on X, Linkedin

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





Source link

Continue Reading
Advertisement [ethereumads]

Trending

    wpChatIcon