XRP News Today: Token Snaps Losing Streak on ETF Approval Hopes; BTC Hits $111k

XRP Snaps Six-Day Losing Streak amid Spot ETF Approval Hopes

XRP snapped a six-day losing streak amid speculation over XRP-spot ETF approvals.

The US Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) issued a joint crypto statement on Tuesday, September 2. The statement commented on spot commodity products:

“Today, the Divisions provide their view that DCMs, FBOTs, and NSEs are not prohibited from facilitating the trading of certain spot crypto asset products. Market participants are invited to engage with SEC staff or CFTC staff, as needed.”

The SEC and the CFTC also signaled support for innovation, while ensuring consumer protections, stating:

“The Divisions stand ready to work with market participants to encourage technological innovations in markets and trading while ensuring investor and customer protections.”

Tuesday’s joint statement followed the Cboe, Nasdaq, and NYSE’s 19b-4 filings, requesting rule changes to enable Commodity-Based Trust Shares to list and trade under a standardized framework.

The joint statement could serve as a crucial stepping stone for the rollout of a standardized crypto ETF framework. A standardized framework would likely expedite the approval of pending XRP-spot ETFs, a key catalyst for prices.

Nate Geraci, president at NovaDius Wealth Management, commented on the current odds of an XRP-spot ETF approval in 2025, stating:

“XRP ETF 2025 approval odds at 87% on polymarket… Personally think closer to 100%.”

Could XRP follow Bitcoin’s ETF success story?

Geraci previously warned that investors underestimated demand for spot XRP ETFs, as they had for BTC and ETH-spot ETFs.

Why do traders need to track pending XRP-spot ETF applications?

Global ETFs now reportedly hold 1.47 million BTC, equivalent to 7% of the total Bitcoin final supply (21 million BTC). Similar demand from XRP-spot ETFs could send XRP to new highs.

XRP Price Outlook: Scenarios for Bulls and Bears

Can XRP break above $3 on speculation about XRP-spot ETF approvals? XRP rallied 3.72% on Tuesday, September 2, reversing Monday’s 0.59% loss to close at $2.8625. The token outperformed the broader market, which rose 1.95%. As a result, the total crypto market cap climbed to $3.78 trillion.

In the near-term, XRP’s price outlook hinges on several key catalysts, including:

• XRP-spot ETF developments.
• Blue-chip firms and XRP Treasury Reserve Asset adoption.
• Ripple’s US-chartered bank license application.
• SWIFT-related updates.
• Market Structure Bill headlines.

Potential scenarios:

• Bearish Scenario: Legislative setbacks, weak Treasury Reserve Asset demand from blue-chip firms, OCC declines Ripple’s application for a US-chartered bank license, lawmakers protect SWIFT, or the SEC disapproves XRP-spot ETFs. These factors may push XRP toward $2.5.
• Bullish Scenario: XRP-spot ETF approvals, OCC approves US-chartered bank license, rising XRP Treasury Reserve Asset demand from blue-chips, bipartisan support for the CLARITY Act, or SWIFT loses share of global remittance business to Ripple. These factors could send XRP above its record high of $3.6606 (Binance).

October is potentially pivotal, likely dictating whether XRP breaks out or continues to weaken. Meanwhile, crypto legislation, global macroeconomic developments, and Bitcoin price trends will continue to affect investor sentiment.

Explore our full XRP forecast here for key breakout zones and timing insights.

Bitcoin Hits Four-Day High as Spot ETF Inflows Boost Sentiment

While XRP steadied on hopes for spot ETF approvals, demand for spot ETFs sent Bitcoin (BTC) higher.

According to Farside Investors, the US BTC-spot ETF market reported net outflows of $126.7 million on August 29, wrapping up a disappointing month for BTC holders. Total net outflows reached $749.2 million in August, snapping a four-month winning streak.

However, BTC-spot ETF issuers kick-started September on a positive note. Expectations of multiple Fed rate cuts boosted demand for spot ETFs on Tuesday, September 2. Excluding BlackRock’s (BLK) iShares Bitcoin Trust (IBIT) flows, total inflows reached $259.9 million. According to Farside Investors, key flows included:

• Fidelity Wise Origin Bitcoin Fund (FBTC) had net inflows of $132.7 million.
• ARK 21Shares Bitcoin ETF (ARKB) reported net inflows of $71.9 million.
• Bitwise Bitcoin ETF (BITB) reported total net inflows of $13.1 million.
• Grayscale Bitcoin Mini Trust (BTC), VanEck Bitcoin ETF (HODL), and Invesco Galaxy Bitcoin ETF (BTCO) saw combined net inflows of $16.2 million.

BTC-spot ETF flow trends remain crucial for Bitcoin’s price trajectory, given that global ETFs hold 7% of the total final supply.

Why do traders need to consider the Fed’s rate path when trading BTC?

Simon Gerovich, President of Metaplanet, Japan’s answer to Michael Saylor’s Strategy (MSTR), recently stated:

“People from high inflation countries need Bitcoin to protect savings from collapsing currencies and capital controls. People from low inflation countries need Bitcoin to escape stealth debasement and negative real yields. Everyone needs Bitcoin because it is built to endure and preserve wealth for generations.”

Global Firms Boost BTC Holdings on Rising Fed Rate Cut Bets

Global companies have taken a similar view on BTC’s store of value, given the increased demand for BTC as a treasury reserve asset. According to HODL15Capital, 19 companies increased their BTC holdings in the week ending August 29. The Bitcoin top 100 list reported total holdings of 995,031 BTC, 6,760 BTC higher than the previous week. Strategy tops the table, with 636,505 BTC, while Metaplanet ranks #6 (20,000 BTC).

BTC Price Outlook: US JOLTs Job Openings, the Fed, and Spot ETFs in Focus

BTC advanced 1.76% on Tuesday, September 2, after a 0.92% gain on Monday, closing at $111,189. Despite the upswing, BTC fell short of the crucial $115,000 level for a tenth consecutive session.

Looking ahead, several key events may influence the near-term price outlook. These include:

• Fed speakers: hawkish or dovish.
• US JOLTs job openings: Weaker or stronger?
• Legislative developments on Capitol Hill: The CLARITY Act – yes or no.
• BTC-spot ETF flows.

Potential scenarios:

• Bearish Scenario: Legislative setbacks, upbeat US data, hawkish Fed rhetoric, or ETF outflows. A combination of these may push BTC toward the psychological $100,000 support level.
• Bullish Scenario: Bipartisan support for the CLARITY Act, softer US labor data, dovish Fed signs, and ETF inflows. In this case, BTC could target the record high of $123,731.

Key Market Drivers: Data, Regulation, and ETF Flows

Traders should closely monitor the following key events to determine whether XRP and BTC rebound:

• XRP-spot ETF developments.
• Legislative developments: The CLARITY Act.
• US economic data: Supports rate cuts or lowers expectations of a Fed pivot.
• ETF market flows: Flow trends crucial for BTC’s supply-demand balance.

See where analysts expect XRP and BTC to head in the coming months as regulatory and economic risks evolve.