SEC Poised to Approve Altcoin Spot ETFs, Experts Say
- SEC likely to approve altcoin spot ETFs, experts say.
- Analysts forecast 98% approval for XRP ETF.
- Optimism boosts token volatility and market liquidity.
The SEC’s latest engagement in ETF filings has pushed approval prospects for spot ETFs for altcoins such as XRP, SOL, and DOGE to as high as 98%, according to industry analysts.
The shift in SEC’s stance indicates a more market-oriented approach, possibly leading to new capital inflows and liquidity for select altcoins.
Key asset managers, including Franklin Templeton, have filed for spot ETFs for XRP and Solana, reflecting growing institutional interest. Bloomberg analysts, James Seyffart and Eric Balchunas, noted a 90% or higher approval likelihood driven by “very positive engagement” from SEC regulators.
“Very positive engagement from the SEC has led us to raise our odds for most crypto ETF approvals to 90% or higher.”
— James Seyffart, ETF Analyst, Bloomberg, CoinDesk
Institutional predictions suggest an influx of capital, with Sal Gilbertie of Teucrium forecasting $8 billion in inflows for an XRP ETF. This favorable sentiment has increased speculative trading and on-chain liquidity for XRP, SOL, and DOGE.
The approval expectations stem from previous Bitcoin spot ETF successes. High approval odds have fueled optimism, causing increased volatility and activity in respective markets. Unprecedented engagement from the SEC suggests a departure from their traditional litigation approach.
A potential strategic outcome involves increased legitimacy and liquidity for altcoins mirroring Bitcoin ETF launches. Analysts suggest 94% industry consensus on the positive trajectory if spot ETFs are approved, likely benefiting investors and markets broadly.
