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The potential approval of a Spot XRP Exchange Traded Fund (ETF) is generating huge excitement among investors. And rightly so—such an ETF could trigger an enormous influx of institutional capital, significantly impacting XRP price. Major financial players like Grayscale, 21Shares, and Bitwise have already submitted applications. However, the big question remains:
How Would an XRP Spot ETF Impact Its Price?
Investors won’t have to wait much longer for an answer. The U.S. Securities and Exchange Commission (SEC) has until mid-October 2025 to make a final decision on the pending ETF applications. However, the ruling could come even sooner, possibly as early as April 2025, if the regulatory process moves faster than expected.
The chances of approval appear promising. Bloomberg analysts James Seyffart and Eric Balchunas estimate an 81% likelihood that the XRP Spot ETF will receive approval.
This optimism persists despite the ongoing legal battle between the SEC and Ripple. Many in the crypto community believe that a more crypto-friendly stance within the SEC could significantly increase the chances of approval for an XRP Spot ETF.
What Would This Mean for XRP’s Price?
To gauge the potential impact of an XRP ETF, we can look at Bitcoin’s Spot ETF approval as a reference point.
When Bitcoin Spot ETFs were approved in January 2024, Bitcoin was trading at approximately $40,000. Since then, its price has surged significantly, largely fueled by institutional inflows.
Applying a similar growth percentage to XRP, which is currently trading at $2.57, we could theoretically see XRP rise to approximately $7.00 following an ETF approval.
Is a $7.00 XRP Price Realistic?
Not entirely. While institutional inflows into Bitcoin ETFs played a major role in BTC’s price surge, they were not the only factor. Several additional elements contributed to the rally:
✅ A broader bull market lifting all crypto assets.
✅ Increasing institutional adoption across the financial sector.
✅ Macro-economic factors, including inflation concerns and monetary policies.
Looking at data from Farside, we can see that Bitcoin ETFs currently hold over $40 billion in assets under management (AUM). This staggering number reflects the immense demand for regulated crypto investment products and highlights the institutional shift toward digital assets.
Final Thoughts – Will XRP Follow Bitcoin’s Path?
While predicting an exact XRP price target following an ETF approval is challenging, one thing is clear:
A Spot XRP ETF would open the floodgates for institutional capital, increasing market liquidity and long-term price stability.
🔹 If the ETF is approved, XRP will likely experience a significant surge, but external factors such as market conditions and regulatory clarity will also play crucial roles.
🔹 If history repeats itself, XRP could see an explosive rally, though whether it reaches $7.00 or beyond remains uncertain.
With an 81% chance of approval, all eyes are on the SEC’s decision in 2025. If greenlit, XRP could become the next institutional favorite, mirroring Bitcoin’s success in the ETF space.
