Standard Chartered forecasts that XRP could reach $8 if ETFs are approved, predicting up to $8.3 billion in inflows. However, Bitfinex expresses skepticism about demand for XRP ETFs, suggesting a limited interest compared to Bitcoin. Regulatory approvals for XRP ETFs could reshape the market landscape, with varied opinions on the prospect of altcoins in the current environment.
In the latest buzz surrounding XRP ETFs, Standard Chartered has set a price target of $8 for Ripple’s XRP token. With growing interest in the financial market, analysts believe inflows could reach as high as $8.3 billion within the first year if these ETFs gain traction as projected. However, other firms like Bitfinex hold a more cautious stance, indicating that demand for XRP ETFs may not match the enthusiasm previously observed for Bitcoin ETFs.
Talk of XRP ETFs has been rife this week—rumours and discussions have flooded the space, especially amid the recent approval of ProShares leveraged futures XRP ETF which sparked optimism. Eric Balchunas from US Crypto News previously upped the odds of approval to 85%. One prominent market commentator even suggested that if XRP ETFs attracted 15% to 30% of Bitcoin ETF inflows, XRP could skyrocket to between $12.23 and $22.20.
As of now, XRP trades at $2.22, having dipped almost 1% in the past day. BeInCrypto reached out to Standard Chartered’s head of digital assets research, Geoff Kendrick, who stressed that estimating actual inflow figures is complex. Comparisons can be drawn to European exchange-traded products for guidance. For example, ETPs for XRP and other notable altcoins could offer insight into potential inflows.
Kendrick pointed out that altcoins tend to achieve a larger share of exchange-traded product net asset value compared to Bitcoin and Ethereum, though this might be due to the relative scarcity of ETPs for these altcoins. He believes that a US-listed XRP ETF could target inflows of $4.4 billion to $8.3 billion in its first year. Notably, Kendrick’s forecasts align XRP’s price with Bitcoin’s expected growth trajectory.
The Standard Chartered forecast expects Bitcoin to reach $120,000 in Q2 2025, with a staggering projection of $500,000 by 2028. Ripple’s XRP, they say, could rise to $8 by 2026, representing a steep 260% increase from current levels. Kendrick noted the substantial difference in inflation rates too, which sits at 6% for XRP compared to just 0.8% for Bitcoin, suggesting XRP could indeed see significant price movement in the coming years.
In contrast to Standard Chartered’s prediction, Bitfinex analysts are urging caution, suggesting that interest in a US XRP ETF might not garner the same demand as Bitcoin’s. They expect inflows to be limited as investors may opt for a broader exposure within the available crypto ETF landscape. This concern illustrates the prevailing uncertainty about how altcoin ETFs will perform under US regulations.
Multiple firms, including Grayscale and Wisdom Tree, have filed proposals for XRP ETFs with the SEC, while the regulatory landscape continues to evolve. The specific approval timeline for XRP ETFs remains uncertain, but speculation suggests that Litecoin could progress favourably due to its status as a Bitcoin hard fork. Kendrick noted that both Litecoin and XRP face scrutiny regarding their classification by the SEC.
Overall, while some analysts see potential in XRP’s growth linked to ETF approvals, others advise caution, reflecting the volatility and unpredictable nature of the crypto landscape, particularly concerning altcoins. A recent poll indicates a 39% chance that XRP ETFs will be approved by July 31, ramping up to 79% by year-end, leaving many market participants eager for updates on these pivotal decisions.
In other crypto news, Bitcoin’s price is showing signs of stability, with predictions suggesting it could hit $100,000. Kraken has reported a revenue boost, while Ethereum faces competition from Solana in attracting developers. The market is buzzing with activity, but it’s crucial to stay alert amidst the rapidly shifting narratives in the crypto world.
