XRP News Today: XRP Tops Crypto Top Ten as ETF Bets Lift October Outlook; BTC Steadies

XRP Leads the Crypto Top Ten as Traders Look Ahead to a Pivotal October

October could define XRP’s future — ETF approval may fuel a record-breaking rally. XRP rebounded as dip buyers returned at sub-$2.85 levels, dismissing the SEC’s latest pushback on XRP-spot ETF decisions.

Notably, XRP led the top ten cryptos by market cap, outperforming Ethereum (ETH) and Solana (SOL). Speculation about the SEC approving pending XRP-spot ETF applications by October lifted sentiment.

Grayscale and Bitwise Multi-Crypto-Spot ETF Approvals Hint at XRP-Spot ETFs

In July, the SEC approved the Bitwise 10 Crypto Index Fund (BITW) conversion into an ETF. The approval followed the agency green-lighting the conversion of the Grayscale Digital Large Cap Fund (GDLC).

The approvals were significant, given that both ETFs are intended to offer investors exposure to XRP and other cryptos such as BTC, ETH, and SOL.

Despite approving the conversions, the agency simultaneously issued stay orders, delaying their launches. The agency stated the stay order was issued to provide time for the rollout of a standardized crypto ETF framework. However, it seems unlikely the SEC would approve multi-crypto spot ETFs with XRP exposure if approval of a dedicated XRP-spot ETF were improbable.

Notably, Grayscale filed a letter with the SEC, contesting the stay order. The SEC has yet to respond publicly, suggesting closed-door discussions.

Since the approvals, the SEC deferred its decision on pending XRP-spot ETF applications to October. However, the delays have not dissuaded issuers from filing new crypto-spot ETF applications. Canary Capital filed for a US-Made Crypto ETF, potentially offering exposure to XRP.

SEC Receives Comments on Proposal for Crypto-Spot ETF Listing Standards

While investors track activity in the crypto-spot ETF space, the rollout of a standardized crypto ETF framework remains crucial. BlackRock (BLK) met with the SEC in May to discuss listing standards. In July, Cboe, Nasdaq, and NYSE filed 19b-4s, requesting rule changes to allow for Commodity-Based Trust Shares to list and trade under a standardized framework.

On Tuesday, August 26, the SEC received public comments on the proposed rule change. Greg Xethalis, General Counsel at Multicoin Capital, shared the response, stating:

“The exchanges have put before the SEC a proposal to create generic listing standards that will make approvals of any Commodity-Based Trust Shares more efficient and objective. It will also allow some (but not total) expansion of the crypto assets to be eligible for ETPs.”

Xethalis added,

“The proposals are a good 1st step & can be iterated upon, as we suggest. A next step should focus on circulating market cap & daily trading volume, though the initial 3 approval means (trading on ISG member platforms; future on DCM for 6mos; ETF-40%) are good for the moment.”

Pro-crypto legal experts predict a surge in crypto-spot ETF launches once a standardized framework is in place.

For XRP, spot ETFs may boost institutional demand, potentially fueling a breakout above its all-time high of $3.6606 (Binance). However, continued delays could expose XRP to increased volatility and broader market trends.

XRP Price Outlook: Spot ETFs in Focus

Can XRP hold onto Tuesday’s gains and target its $3.6606 all-time high? XRP rallied 5.38% on Tuesday, August 26, reversing Monday’s 5.52% slide to close at $3.0132. The token outperformed the broader market, which gained 2.53%, lifting the total crypto market cap to $3.82 trillion.

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

• XRP-spot ETF news.
• XRP Treasury Reserve Asset adoption.
• Ripple’s US-chartered bank license application.
• SWIFT-related updates.
• Legislative developments.

Potential scenarios:

• Bearish Scenario: Legislative delays, slower Treasury Reserve Asset adoption, OCC declines Ripple’s application for a US-chartered bank license, lawmakers protect SWIFT, or the SEC disapproves XRP-spot ETFs. These factors could push XRP toward its August 3 low of $2.7254.
• Bullish Scenario: XRP-spot ETF approvals, OCC approves US-chartered bank license, rising XRP Treasury Reserve Asset adoption, 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 Exchange), paving the way to $5.

October could determine whether XRP cements its breakout or stalls under regulatory weight. Meanwhile, global macroeconomic developments and Bitcoin (BTC) price trends will continue to influence XRP price action.

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

Bitcoin Rebounds as US Consumer Confidence Dip Raises Fed Rate Cut Bets

While XRP rebounded on hopes for a spot ETF approval, Bitcoin (BTC) found much-needed support.

US economic data raised expectations of a September Fed rate cut, boosting demand for risk assets. The US Conference Board Consumer Confidence Index fell from 98.7 in July to 97.4 in August. Notably, concerns about the labor market weighed on the Index.

Fed Chair Powell hinted at a policy pivot during the Jackson Hole Symposium speech, citing a cooling labor market.

According to the CME FedWatch Tool, the chances of a September Fed rate cut increased from 83.7% on August 25 to 87.2% on August 26.

US BTC-Spot ETF Market Snaps Six-Day Outflow Streak

The US BTC-spot ETF market reported net inflows of $219.1 million on Monday, August 25, snapping a six-day outflow streak. Rising bets on a September Fed rate cut bolstered demand for BTC-spot ETFs on Tuesday, August 26. Excluding BlackRock’s iShares Bitcoin Trust (IBIT) flows, total inflows reached $42.8 million. According to Farside Investors, key flows included:

• Fidelity Wise Origin Bitcoin Fund (FBTC) had net inflows of $14.5 million.
• Grayscale Bitcoin Mini Trust (BTC) saw net inflows of $11.3 million.
• ARK 21Shares Bitcoin ETF (ARKB) and Bitwise Bitcoin ETF (BITB) reported total net inflows of $13.1 million.

BTC-spot ETF flows remain crucial for the near-term price outlook. The six-day outflow streak pushed BTC below $110,000 for the first time since July 9 before the recovery.

This week, the US Personal Income and Outlays Report will influence the Fed’s rate path. A jump in the US Core PCE Price Index may temper expectations of multiple Fed rate cuts, weighing on risk assets. On the other hand, softer inflation could trigger a more sustainable recovery.

BTC Price Outlook: Fed Speakers and Spot ETFs in Focus

BTC gained 1.45% on Tuesday, August 26, partially reversing Monday’s 2.77% loss to close at $111,789. Notably, BTC ended a three-day losing streak.

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

• US Economic data: GDP, jobless claims, and the Personal Income and Outlays Report.
• Legislative developments on Capitol Hill.
• BTC-spot ETF flows.

Potential scenarios:

• Bearish Scenario: Legislative roadblocks, rising stagflation risks, 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, easing stagflation risks, and ETF inflows. In this case, BTC could target the record high of $123,731.

Key Market Drivers to Fuel or Derail a Breakout

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

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

See where analysts expect XRP and BTC to head as legal and political risks evolve.