XRP News Today: XRP Under Pressure While ETH and SOL Rally on ETFs

XRP Loses Out to ETH and SOL Amid Ongoing Spot ETF Approval Delays

XRP has been under pressure since the SEC approved but delayed the launch of two multi-crypto spot ETFs. On July 22, the SEC approved the Bitwise 10 Crypto Index Fund’s (BITW) conversion to an ETF. But the agency also issued a stay order, delaying the launch.

The approval and stay order followed the agency’s approved rule change for the Grayscale Digital Large Cap Fund to convert into the Grayscale Digital Large Cap ETF (GDLC). Notably, the SEC had also issued a stay order, preventing Grayscale from launching the ETF, which invests in BTC, ETH, ADA, SOL, and XRP.

Notably, Grayscale filed a letter with the SEC in response to the stay order, arguing that the agency did not have the power to enforce it. However, the SEC has yet to respond publicly to the letter. It remains unclear whether Grayscale will pursue legal action.

In 2023, Grayscale appealed against the SEC’s disapproval of a rule change converting the Grayscale Bitcoin Trust into a spot BTC ETF. The appeal win led to the eventual launch of US BTC-spot ETFs in January 2024.

Investors had hoped that the approval of BITW and GDLC would expedite the approval of pending spot XRP ETFs. However, the stay order leaves XRP in limbo, while BTC, ETH, and SOL benefit from demand through approved spot ETFs.

ETH gained 1.13% on Sunday, August 17, while SOL rose 0.72%. In contrast, XRP pulled further back from its July 18 all-time high of $3.6606.

Investors expect the approval of spot XRP ETFs to be the next major price catalyst as the SEC vs. Ripple case reaches its conclusion.

XRP Price Outlook: Spot ETFs in Focus

XRP fell 0.59% on Sunday, August 17, partially reversing the previous day’s 0.89% gain to close at $3.09. The token underperformed the broader market, which rose 0.39%, taking the total crypto market cap to $3.94 trillion.

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

• XRP-spot ETF developments.
• XRP Treasury Reserve Asset adoption
• Ripple’s progress in obtaining a US-chartered bank license.
• SWIFT-related updates.
• Legislative developments.

A breakout above the $3.2 resistance level could pave the way to the August 8 high of $3.3826. A sustained move above $3.3826 may allow the bulls to target the July 18 all-time high of $3.6606 (Binance Exchange).

However, a break below $3 may expose the 50-day Exponential Moving Average (EMA). If breached, XRP could test support at the August 3 low of $2.7254.

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

BTC Slips: Demand Outlook Bullish

While XRP fell amid spot ETF uncertainties, Bitcoin (BTC) slipped as investors targeted altcoins, including ETH and SOL.

However, demand for US BTC-spot ETFs and institutional appetite for BTC continue to support current price levels. Simon Gerovich, President of Metaplanet, commented:

“We proudly represent Japan on the global stage as the only company outside of the US in the Top 10 corporate Bitcoin rankings.”

Metaplanet ranks #7, with 18,113 BTC, while Strategy (MSTR) tops the rankings, with 628,946 BTC.

Gerovich shared a chart outlining the company’s purchase plans on Sunday, August 17, stating:

“We are on track to reach 30,000 BTC in 2025 and 1% of all Bitcoin by 2027. A clear roadmap that guides our daily execution and long-term ambition.”

Growing demand from companies, including Strategy and Metaplanet, coincides with continued inflows into BTC-spot ETFs. However, BTC faces stern competition, as the US ETH-spot ETF market outshines BTC-spot ETFs.

US ETH-Spot ETF Flows Dwarf BTC-Spot ETF Market

US BTC-spot ETF issuers reported total net inflows of $547.6 million in the week ending August 15. Meanwhile, the US ETH-spot ETF market saw total net inflows of $2,852.1 million, underscoring the rising interest in Ethereum (ETH). Rotation from BTC into altcoins could continue, potetially capping the token’s upside in the near term.

Market intelligence platform Santiment shared Fear and Greed charts for BTC and ETH, stating:

“We can see that the greed spike on BTC coincided perfectly with the ATH and local top. Meanwhile, the ETH crowd hasn’t shown nearly as much bullishness despite significantly better performance over the past 3 months.”

Remarking on Fear and Greed trends, Santiment added:

“Since prices typically move the opposite direction of retail’s expectations, the current outlook shows a slightly more bullish path for ETH due to the lack of interest in dip buying compared to Bitcoin.”

BTC Price Outlook: The US Economy, the Fed, and Spot ETFs in Focus

BTC slipped 0.11% on Sunday, August 17, reversing the previous session’s 0.09% gain to close at $117,500. Despite the pullback, BTC avoided sub-$115,000 levels for the tenth consecutive session, underscoring robust support.

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

• Fed monetary policy stance: FOMC Meeting Minutes, Fed speakers, and the Jackson Hole Symposium
• Services PMI and US Jobless Claims.
• Legislative developments on Capitol Hill.
• BTC-spot ETF flows.

Potential scenarios:

• Bearish Scenario: Legislative roadblocks, rising US recession risks, hawkish Fed rhetoric, and ETF outflows. A combination of these may drag BTC to the 50-day Exponential Moving Average (EMA), exposing the $100,000 support level.
• Bullish Scenario: CLARITY Act’s progress on Capitol Hill, easing US recession risks, dovish Fed signals, 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 developments to determine whether XRP and BTC climb to new all-time highs:

• XRP-spot ETF headlines.
• Legislative news: The CLARITY Act.
• US Economic Data.
• Fed commentary: Hawkish or dovish signals.
• 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.