SEC Delays Altcoin ETF Decisions Once Again as XRP Nears $3 on Approval Speculation
The U.S. Securities and Exchange Commission (SEC) has once again postponed decisions on several crypto exchange-traded fund (ETF) applications, extending its review of both the Bitwise Dogecoin ETF and the Grayscale Hedera ETF until November 12.
The move highlights the regulator’s cautious approach to a wave of altcoin ETF proposals filed this year.
Backlog of ETF Applications Grows
The SEC’s extensions add to an already packed schedule of crypto-related filings. As of late August, more than 90 digital asset ETF products were awaiting a ruling, including multiple applications tied to XRP, Solana, Dogecoin, Litecoin, Avalanche, and BNB. Institutional interest has been particularly strong in Solana and XRP, with eight and seven applications on record, respectively.
Grayscale is also pursuing conversions of its long-standing Litecoin and Bitcoin Cash trusts into ETFs, following the precedent it set in 2024 when its Bitcoin Trust became the first U.S. spot Bitcoin ETF after a court ruling against the SEC.
XRP Rally Fueled by ETF Hopes
The regulatory delays come as XRP briefly traded above $3, its highest level in nearly two weeks, before pulling back. Market optimism is largely tied to expectations that the SEC could approve an XRP ETF by late October, with some Bloomberg analysts assigning approval odds above 90%.
Futures data reflects the growing institutional appetite: open interest in XRP futures climbed to 2.69 billion tokens ($7.9 billion) in August, while contracts listed on the Chicago Mercantile Exchange (CME) rose 74% month-over-month. Despite this surge, XRP has underperformed relative to the broader altcoin market, which gained 14% over the same period.
Mixed Signals on Fundamentals
Beyond ETF speculation, XRP’s fundamentals show a more subdued picture. Ripple’s stablecoin, RLUSD, surpassed $700 million in assets, but most of its issuance has occurred on Ethereum rather than the XRP Ledger. Data from RWA.xyz indicates the XRP Ledger accounts for just 2% of tokenized real-world assets, lagging behind peers like Avalanche and Stellar. Its total value locked also remains modest at around $100 million.
Outlook
Whether XRP can sustain momentum toward the $3.60 level seen earlier this summer will depend heavily on regulatory outcomes. The SEC has made clear it will take the full length of its statutory review periods, leaving markets to speculate in the meantime.
For altcoins, the coming months could prove pivotal: a wave of approvals would open new doors for institutional inflows, while further delays may test investor patience in an already volatile market.
