The Chief Investment Officer of Valkyrie Funds believes that after the expected approval of Bitcoin Spot ETFs, Ripple and Ethereum Spot ETFs might join the market.
XRP is the only digital asset that has regulatory clarification by the courts in the United States, and the relisting of the alternative cryptocurrency by major exchanges is an important milestone.
Although the price of Ethereum increased as a result of the SEC's erroneous announcement of the Bitcoin Spot ETF, the price of Bitcoin fell as a result of traders "selling the news."
After the extremely likely approval of Bitcoin Spot ETFs, Eleanor Terret of Fox Business provided the opinions of prominent figures in the cryptocurrency business about the reasons why Ripple XRP and Ethereum Spot ETFs could soon be allowed by the United States Securities and Exchange Commission of the United States.
Investors who are bullish on XRP and Steven McClurg, the chief investment officer of Valkyrie Funds, are optimistic that the regulator will give its clearance to both XRP and Ethereum Spot ETFs.
Eleanor Terret, a reporter for Fox Business, spoke to players in the cryptocurrency market, including bulls and bears, as well as Steven McClurg, the chief information officer of Valkyrie Fund. They provide contrasting points of view about the probability of the SEC approving a single-product exchange-traded fund (ETF) named XRP Spot.
The optimistic argument is founded on the fact that the United States District Court has provided regulatory clarification for XRP, making it the only cryptocurrency to have achieved such certainty. This is a reference to the order that Judge Analisa Torres issued on July 13 about XRP, which indicates that XRP was not a security while it was being sold on exchange platforms via its "secondary sales." Re-listing of XRP on major cryptocurrency exchange platforms such as Coinbase and Kraken was made possible as a result of this clarification.
A recent relisting of XRP by Grayscale's Digital Large Cap Fund is seen as a promising indication that the alternative cryptocurrency may be featured in future funds managed by the most prominent cryptocurrency asset management company.
After the Securities and Exchange Commission (SEC) gets near to approving the Bitcoin Spot ETF product, Steven McClurg has said that it would not surprise him if he saw XRP and Ethereum exchange-traded funds (ETFs) come to market.
The pessimistic thesis is that the opinions of SEC Commissioner Gary Gensler on cryptocurrencies other than Bitcoin might have a detrimental impact on an Ethereum or XRP Spot ETF bid in the absence of assistance from Congress over cryptocurrency legislation. According to Terret, a change in administration to one that has a "crypto-positive" view is probably required for the same reason.
At the same time, it is quite probable that if Bitcoin Spot ETFs are permitted, BTC will be differentiated from other cryptocurrencies. This distinction may be followed by the rejection of Spot ETFs for other assets such as XRP and Ethereum.
As a result of a "sell the news" move, Ethereum goes up, while Bitcoin falls.
In his most recent tweet on X, Vetle Lunde, Senior Analyst at K33 Research, provided more explanation about the capped price rises of Bitcoin as a result of the adoption of the Bitcoin Spot ETF. Lunde offers light on the potential that Bitcoin traders are doing a "sell the news" trade in response to the announcement that an exchange-traded fund (ETF) has been approved.
Bitcoin
It is interesting to note that the price of Ethereum has increased, and cryptocurrency specialists have observed that money is expected to shift from Bitcoin to Ethereum, which will drive increases in the latter. When the judgment on the Bitcoin Spot ETF is made public by the SEC, the result of the chain of events that took place on Tuesday might serve as a roadmap, according to Scott Melker, an analyst who specializes in cryptocurrency.
