In an unexpected move, BlackRock, known as the largest asset management firm globally, has announced it will not pursue a spot XRP ETF in 2025. This decision emerges despite the SEC’s recent classification of XRP as a digital commodity and its resolution of litigation with Ripple.
As BlackRock refrains from entering the market, competitors like Grayscale and Bitwise are aggressively seeking XRP ETF approvals. Market experts predict that these efforts could lead to significant inflows ranging from $4.3 billion to $8.4 billion by the end of this fiscal year.
Rather than diversifying, BlackRock is concentrating on its well-established Bitcoin and Ethereum ETF offerings. They cite a lack of sufficient institutional interest in altcoins. However, some analysts caution that this cautious approach might allow competitors to capture market share from BlackRock by catering to investors looking for diversification in cryptocurrency portfolios.
Cardano Gears Up for ETF Approval
On another front, Cardano (ADA) has become a significant topic of discussion this September. Grayscale’s submission of an updated S-1 for its proposed Cardano ETF has elevated approval probabilities on platforms like Polymarket from 63% to 87%.
This ETF would list on NYSE Arca, with ADA held directly and Coinbase Custody ensuring security measures. If approved, analysts speculate that ADA could see prices soar past $1.00, forecasting considerable gains of 40–55% should institutional interests surge.
In addition to speculation regarding ETFs, Cardano is actively enhancing its fundamental capabilities, with updates to its smart contracts and the launch of the Midnight privacy protocol.
Polkadot and Chainlink Expand Market Horizons
Additionally, both Polkadot (DOT) and Chainlink (LINK) are gaining traction amid the ETF frenzy and advancements in their ecosystems. DOT is currently trading around $3.76, showing resilience with projections indicating it could rise to approximately $4.20 this year, and potentially reach between $6.99 and $8.45 by 2026 as cross-chain technology sees greater adoption.
Conversely, Chainlink has experienced significant momentum, breaking past $23 after the U.S. Department of Commerce revealed plans to leverage Chainlink’s oracle network for on-chain publication of official economic data.
Moreover, Bitwise’s application for a Chainlink spot ETF has intensified the optimism surrounding LINK. Analysts believe that if current trends continue, there is a possibility for LINK to revisit its prior highs around $30.
The market landscape is rapidly evolving, with speculative interest in ETFs contrasting sharply with BlackRock’s more conservative strategy regarding XRP. As the SEC prepares to make critical decisions this fall, the results could significantly alter the dynamics of institutional engagement in the cryptocurrency ecosystem.
Image sourced from ChatGPT, ADAUSD chart via Tradingview
