The XRP community is on edge, eagerly anticipating the outcome of the US Securities and Exchange Commission (SEC) appeal deadline set for January 15th. This decision holds significant potential for the future prospects of an XRP Exchange-Traded Fund (ETF). In November, the SEC requested an extension to submit its appeal by early January, leading to speculation that the delay might be influenced by the US election results.
Potential Dismissal of the Appeal
With the transition to a pro-crypto Trump administration and the appointment of Paul Atkins as the next SEC chair, there is growing skepticism about whether the agency will proceed with the appeal. The appeal process, which typically takes about a year, continues for now. However, there is a possibility that the new administration might choose to dismiss the appeal entirely. Although such a move is unprecedented, it remains within the realm of possibility.
Ripple’s Chief Legal Officer, Stuart Alderoty, has previously called for an end to the prolonged four-year legal battle with the SEC. Alderoty urged the incoming administration to resolve the issue, believing that with a crypto-friendly SEC chair like Atkins, there is a chance to rebuild industry confidence and provide the much-needed clarity. The dismissal of the appeal could lead to the regulator clarifying XRP’s security status, thereby accelerating its ETF approval chances. As of now, only Bitcoin and Ethereum ETFs have been approved, as they are not classified as securities. The market remains optimistic that the new administration will approve several altcoin ETFs, including Solana and XRP, in 2025.
Several companies, such as Bitwise, Canary Capital, 21Shares, and WisdomTree, have already submitted their XRP ETF proposals. Prediction site Polymarket currently estimates a 75% likelihood of an XRP ETF being approved in 2025, reflecting the growing anticipation within the community.
A Bullish Outlook for XRP
The current market sentiment suggests a bullish outlook, with XRP holders anticipating a potential rally fueled by the prospect of ETF approval. Investors may be waiting for the ETF outcome or the expected altcoin season in 2025. Experts project that ETF approval could propel XRP’s value to exceed $5, making this waiting period potentially rewarding.
Adding to the optimistic sentiment is a recent comment from renowned analyst Lark Davis. In a recent post, Davis shared a bullish outlook, forecasting a $10 trillion market cap for the crypto market. He emphasized that such growth would unleash gains that are beyond what most people can currently imagine, further boosting the positive momentum in the market.
As the XRP community awaits the SEC’s decision, the anticipation surrounding the potential impact on XRP and the broader crypto market continues to grow. The new administration’s stance on cryptocurrency and the SEC’s final decision will undoubtedly shape the landscape for XRP and other altcoins in the coming years.
