XRP News Today: Grayscale Joins Race for XRP-Spot ETF; BTC Dips Below $105K

XRP ETF Race Heats Up as SEC Appeal Withdrawal Speculation Mounts

On Thursday, January 30, Grayscale filed a request to convert Grayscale XRP Trust into an XRP-spot ETF. The filing signaled growing confidence in regulatory approval. Bloomberg Intelligence ETF analyst James Seyffart shared the news, stating,

“NYSE and Grayscale have filed to convert Grayscale’s XRP trust into an ETF. The trust currently has approximately $16 million in assets.”

Grayscale joins Bitwise, Canary Funds, WisdomTree, and 21Shares, which have already submitted applications for XRP-spot ETFs.

Grayscale is a significant player in the crypto-spot ETF space. In August 2023, Grayscale successfully appealed the SEC decision to decline its request to convert Grayscale Bitcoin Trust into a BTC-spot ETF. The victory helped pave the way for a US Bitcoin (BTC)-spot ETF market, which has seen total net inflows of $39,862 million since launching on January 11, 2024.

The latest XRP-spot ETF filing reflects optimism that the SEC may withdraw its appeal in the Ripple case. On January 15, 2025, the SEC filed its appeal-related opening brief, challenging the Programmatic Sales of XRP ruling.

The approval of one or more XRP-spot ETFs could significantly boost XRP demand, potentially driving it to record highs. BTC surged from $46,716 on January 10, 2024, to its record high of $109,312 following the ETF approvals and Trump’s election win.

Fox Business journalist Eleanor Terrett remarked on the latest XRP-spot ETF filing, stating:

“SCOOP: Keep an eye out for possibly more filing activity by issuers with XRP ETF applications next week.”

SEC Remains Silent on Ripple Case After Closed Meeting

Despite rising hopes of the SEC withdrawing its appeal, the agency remained silent about the Ripple case after its January 30 closed meeting. Speculation has intensified about a potential withdrawal after US President Trump appointed Mark Uyeda as acting SEC Chair.

Acting Chair Uyeda previously hinted at a potential shift in crypto enforcement, stating,

“The Commission’s war on crypto must end, including crypto enforcement actions solely based on a failure to register with no allegation of fraud or harm. President Trump and the American electorate have sent a clear message. Starting in 2025, the SEC’s role is to carry out that mandate.”

Calls for the SEC to end its crackdown on crypto firms have intensified. Variant Fund Chief Legal Officer Jake Chervinsky commented:

“The single most important thing the SEC can do, and must do, to restore the rule of law is end its enforcement actions against crypto companies that acted in good faith and were ambushed by Gary Gensler. So far, the SEC has taken no public steps to right these wrongs. Why wait?”

Pro-crypto lawyer Fred Rispoli responded:

“Excellent question. Especially with the Commission *right now* having a 2-1 pro-crypto majority. And, legally, a quorum to vote is 3.”

XRP Price Trends: SEC Appeal Decision Crucial

On Thursday, January 30, XRP advanced by 1.95%, adding to Wednesday’s 0.30% gain, closing at $3.1276. XRP’s trends mirrored the broader crypto market, which rose 1.96%, taking the total crypto market cap to $3.50 trillion.

The SEC’s decision on its appeal will be a key driver of XRP’s price action:

• Withdrawal of the appeal could drive XRP past its all-time high of $3.5505.
• Pursuing the appeal may drag XRP below $2.50.

Expert Analysis: How will the SEC’s next move shape XRP’s future? Read more here.

Bitcoin Advances on New ETF Approvals

While the SEC considers its next move in the Ripple case, bitcoin also benefited from ETF-related news. Bloomberg Intelligence ETF Analyst James Seyffart announced the SEC’s approval of the Bitwise Bitcoin and Ethereum ETF on its final deadline.

Bitwise’s Bitcoin ETF has seen $2,350 million in total net inflows since launching on January 11, 2024. The multi-crypto ETF could boost BTC demand further.

ETF Store President Nate Geraci analyzed the US BTC-spot ETF market, saying,

“This is what’s so remarkable about the net $40bil flows into spot btc ETFs over past yr… They posted that ridiculous number w/ one hand tied behind back. Major wealth management firms are *just now* starting to open up full access.”

US BTC-Spot ETF Market Extends Inflow Streak

On January 30, the US BTC-spot ETF market could extend its net inflow streak to three sessions. According to Farside Investors,

• Fidelity Wise Origin Bitcoin Fund (FBTC) had net inflows of $209.1 million.
• ARK 21Shares Bitcoin ETF (ARKB) and Bitwise Bitcoin ETF (BITB) saw net inflows of $12.6 million and $23.0 million, respectively.

Excluding BlackRock’s (BLK) iShares Bitcoin Trust (IBIT), the US BTC-spot ETF market reported $266.6 million in total net inflows. Recent flow trends supported a BTC move to a January 30 high of $106,333.

ECB President Christine Lagarde Challenges Bitcoin as a Strategic Reserve Asset

ECB President Christine Lagarde challenged speculation that other nations might follow the US and approve BTC as a strategic reserve asset. During the January 30 ECB press conference, Lagarde stated reserves must be liquid and safe, adding,

“I’m confident that Bitcoins will not enter the reserves of any of the central banks of the general council.”

Lagarde’s stance contrasts with US President Trump and Senator Cynthia Lummis. Senator Lummis, who chairs the Senate Banking Subcommittee on Digital Assets, introduced the Bitcoin Act in late 2024. The bill proposes the US government acquire one million BTC over five years, with a mandatory holding period of 20 years.

However, slow progress toward a US Strategic Bitcoin Reserve (SBR) continues to leave BTC short of its record high of $109,312 before easing back. While BTC surged 61% since Trump’s election win, it fell short of its $109,312 record high amid uncertainty over the SBR approval timeline.

Bitcoin Price Outlook

On Thursday, January 30, BTC advanced by 0.86%, following Wednesday’s 2.27% gain, closing at $104,559.

BTC’s price trends hinge on US inflation data, spot ETF flows, and crypto-related news from Capitol Hill.

• Softer US inflation numbers could raise Fed rate cut bets, potentially driving BTC beyond its record high of $108,231.
• Higher inflation, US BTC-spot ETF outflows, and delays in a US SBR could pull BTC toward $95k.

Market Outlook: Regulatory Activity in Focus

Upcoming regulatory actions, including the SEC appeal decision and Bitcoin reserve debate, could reshape institutional adoption and investor sentiment.

Stay updated with our expert analysis of these developments and their implications for crypto markets. Read more here.