- XRP ETF approval odds on Polymarket rose to 86% after the SEC withdrew its appeal on XRP sales ruling.
- The SEC’s decision clears legal hurdles for XRP ETFs with firms like Bitwise and Grayscale awaiting approval.
- XRP price may rise if an ETF gets approved as seen with Bitcoin which surged 51% before its ETF launch.
The U.S. Securities and Exchange Commission (SEC) has withdrawn its appeal against the ruling on XRP’s programmatic sales. This decision has fueled speculation about an XRP-spot exchange-traded fund (ETF), with analysts reassessing the cryptocurrency’s market potential.
Regulatory Clarity Paves Way for ETFs
The SEC’s move resolves a long-standing question about XRP’s classification in secondary markets. With legal uncertainty removed, financial institutions may now have a clearer path to launching an XRP-spot ETF. The SEC has no major legal obstacles preventing early approvals before the final deadline in October 2025.
Several investment firms, including 21Shares, Bitwise, Franklin Templeton, WisdomTree, Grayscale, and Canary Funds, have filed applications. Industry analysts believe the regulatory shift increases the likelihood of approvals in the coming months.
Market Sentiment Shifts Toward Optimism
Crypto-betting platform Polymarket has reported a rise in confidence regarding an XRP-spot ETF. Approval odds for December 2025 have increased from 77% to 86%. Shorter-term projections have also improved, with Q2 2025 odds climbing from 33% to 46%.
Historical trends suggest ETF speculation influences market sentiment. Bitcoin experienced a 51% surge before its spot ETFs received approval. If XRP follows a similar pattern, the token may attempt to reclaim its 2018 all-time high of $3.55.
Institutional Demand and Market Impact
Institutional investors are closely monitoring XRP’s trajectory. The potential introduction of an ETF could attract significant capital inflows, increasing liquidity and market stability. Analysts suggest that broader adoption of XRP Ledger-based financial products may also play a role in price movements.
While the SEC’s decision supports positive momentum, Ripple’s cross-appeal remains a factor to consider. The market continues to react to regulatory updates, shaping expectations for XRP’s future performance.