Wall Street betting on XRP and Solana will drive up the price of those assets as altcoin exchange-traded funds gain momentum, analysts say.
Newly launched US spot ETFs’ ability to attract institutional investors will catapult XRP and Solana’s prices by 33% and 10% respectively, Ray Youssef, CEO of crypto trading platform NoOnes, told DL News.
Regulated products “create a steady inflow channel that can serve as a liquidity buffer for the current market environment,” he said.
Youssef added that institutional demand for regulated exposure to non-Bitcoin assets is accelerating, even in one of the toughest macro backdrops of the year.
He’s not alone in being bullish on XRP and Solana on the back of the new ETFs. Analysts have previously told DL News that they expect XRP to hit $2.50 and Solana to hit $160. XRP currently trades at $2.20 and Solana at $136.
The comments come as newly launched XRP and Solana ETFs have attracted just over $955 million in sales over the past month, according to SoSoValue.
Those inflows mark a dramatic divergence from Bitcoin and Ethereum ETFs that have seen investors sell their positions to the tune of $3.7 billion and $1.6 billion respectively over the same period.
The optimism about altcoins arrives just as the broader crypto market has climbed roughly 2% to be worth a little over $3 trillion over the past 24 hours.
Elsewhere, tech stocks led a global rally this week as traders priced in a growing chance of a Federal Reserve rate cut in December, lifting risk appetite and breathing life back into crypto’s beaten-down altcoin complex.
The odds of a cut in interest rates jumped after New York Fed President John Williams said last week that they could come in the “near term,” while Fed governor Chris Waller added even more fuel to that fire on Monday.
The CME FedWatch tool now assigns roughly 81% odds to a December rate cut, up sharply from last week. Bettors on Polymarket also took into account fresh Fed governor comments, predicting a 83% chance of a cut.
Crypto market movers
Bitcoin is up 1.5% over the past 24 hours, trading at $87,413.
Ethereum is up 3.6% over the past 24 hours, trading at $2,896.
What we’re reading
Bitcoin price to $50,000? Three reasons why analysts see more downside — DL News
Citadel Securities fuels Kraken as crypto firms pull $253m this week — DL News
Kalshi Hits $11B Valuation After $1B Raise: Report — Unchained
How Robinhood Crypto Plans to Compete With Coinbase (And Win) w/ Johann Kerbrat — Milk Road
Crypto exchange Kontigo suspends US accounts for Venezuelan customers — DL News
