Following the launch of Spot Bitcoin ETFs, Bitcoin (BTC) experienced a dramatic price surge to new all time highs. This begs the question of whether the potential launch of an XRP ETF could drive the price of the cryptocurrency to a $20 all time high.
Ripple Settlement Could Spark An XRP ETF
The almost four-year-long legal battle between Ripple Labs and the United States Securities and Exchange Commission (SEC) is approaching its finale, with the Court ordering Ripple to pay $125 million in civil penalties to settle the case with the SEC. While Judge Analisa Torres has clarified that XRP is not considered a security, the ruling has also provided well-needed legal clarity for XRP and the broader crypto space.
With Ripple’s regulatory status now solved, it could pave the way for an XRP ETF. Kashif Raza, the Founder of Bitnning, has also expressed optimistic expectations for the potential launch of new XRP ETF filings.
In an X (formerly Twitter) post, Raza disclosed that while XRP’s sales to institutional investors were in violation of securities laws, selling to retail investors does not violate any laws. The Bitnning founder sees this differentiation as a positive development for the XRP community.
Sharing similar expectations of an XRP ETF, crypto enthusiast, Amelie noted that Ripple’s new found regulatory clarity could set the stage for an XRP ETF between 2024 and 2025. Additionally, crypto analyst, Tony Edward has declared that the odds of an XRP ETF has grossly increased.
Despite Ripple’s legal victory, Edward revealed that the XRP market is not in a bullish sentiment phase at the moment. However, the analyst acknowledges that XRP now has a clear path for a bullish take-off as the market progresses. He emphasized that when the cryptocurrency regains its bullish momentum, it will be free from the dark cloud of litigation and legal challenges.
Could An ETF Send XRP Price To $20?
Following the settlement order and court’s ruling that XRP is not a security, the price of the cryptocurrency surged above 25%, crossing the $0.6 mark, and inching closer to $0.7. The legal resolution has fueled speculations about the potential introduction of an XRP ETF, which could significantly impact XRP’s value.
Considering Bitcoin’s surge to new all-time highs after the launch of its ETF, it’s plausible that XRP could reach $20 if an ETF is launched. Sharing similar bullish sentiments, Edward has set a more conservative bullish target for XRP in the event of an ETF launch. The analyst predicts that XRP could rise between the price range of $4 to $8.
In contrast, crypto analyst and ambassador of BitTrue, Brett Hill has considers a $4 to $10 target for XRP to be overly pessimistic. He shared a more optimistic projection for XRP, predicting that the cryptocurrency could reach between $18 to $20 within the next one to six months.
Featured image created with Dall.E, chart from Tradingview.com
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