In an unexpected turn of events, XRP has seen a remarkable 13% price surge, following the announcement that the SEC has dropped its lawsuit against Ripple Labs. This decision has not only uplifted the sentiment around XRP but also sparked optimism regarding the potential approval of Exchange-Traded Funds (ETFs) based on XRP. The crypto community is now speculating about an imminent rise in trading activity, marking a significant shift in the market dynamics.
Recent data indicates that XRP has overtaken Solana (SOL) in spot trading volumes, capturing more than 50% of the market transactions. This is a stark contrast to the previous scenario where Solana held 70-80% of the trading volumes. Analysts suggest that the absence of legal hurdles for XRP has led to a substantial increase in investor interest, pushing it ahead of its rival.
According to blockchain analytics firm Kaiko, the recent uptick in trading volume is not merely coincidental. They report that average market depth for XRP has improved significantly and is now higher than that of Solana, indicating greater liquidity and investor confidence. This change is crucial as the market prepares for potential XRP-based product launches within the next few months.
Moreover, the outlook for ETF approvals has taken a favorable turn. Data from the prediction market Polymarket indicates that the likelihood of a spot Ripple ETF getting the green light by the end of 2025 has surged to 83%. The increase in confidence is attributed to the recent legal developments and the anticipation of at least ten ETF applications currently awaiting SEC approval, including various types of leveraged and inverse products. Ripple CEO Brad Garlinghouse has hinted that these ETFs could become available in the U.S. market as early as the second half of 2025.
The ongoing evolution in the XRP landscape exemplifies the shifting currents within the cryptocurrency market. As XRP gains traction with improved market metrics, traders and investors alike are advised to stay alert to the developments surrounding Ripple’s future product launches. The end of Ripple’s legal troubles may just be the beginning of a new chapter for XRP as it continues to emerge as a leading player in the world of digital assets.
