XRP Eyes $3 as Bitwise Files for Spot Ripple ETF—Is a Breakout Imminent?

• Bitwise is in the preparation stage for an XRP ETF as its application has been found on the State of Delaware’s Division of Corporations’ website. 

• Experts explain that this initial move does not make an official filing with the US Securities and Exchange Commission imminent. 

Renowned asset manager Bitwise has filed for a spot XRP Exchange-Traded Fund (ETF) after an application was discovered on the State of Delaware’s Division of Corporations’ website.

Briefly investigating this groundbreaking move, CNF discovered that the filing was incorporated on September 30, 2024. On top of that, the registered agent was listed as CSC Delaware Trust Company. However, this does not necessarily mean a registration application with the US Securities and Exchange Commission (SEC) is guaranteed. According to experts, this could be the first stage of preparation. 

Similar to this, Grayscale Investments recently made a subtle disclosure of a possible XRP ETF with the launch of its Grayscale XRP Trust. As we reported, this new trust was meant to offer both individual and institutional investors who meet accreditation criteria the opportunity to invest in the asset. 

Months ago, Ripple CEO Brad Garlinghouse declared at the Consensus 2024 conference that XRP ETF in the US is “inevitable,” along with the likes of Cardano and Solana. Meanwhile, Garlinghouse has been clear on their position on Initial Public Offering (IPO). Speaking at the World Economic Forum in Davos, Switzerland, he disclosed that the SEC’s recent action has been the reason for not going public. 

In the United States, trying to go public with a very hostile regulator that’s approved your S-1 doesn’t sound like a lot of fun to me. Coinbase had their S-1 approved. And now the SEC is suing them for doing things that were outlined in their S-1.

XRP Price Reaction and Analysis

Amidst the backdrop of the ETF development, the price of XRP has joined the broad market pullback with a 24-hour decline of 3.6% to slip below $$0.6. Meanwhile, its trading volume remains positive, with a staggering increase of 65%, with $2.8 billion changing hands. 

On-chain activities of XRP also remain positive as its active addresses increased by 1.16% in the last 24 hours to reach 13.31K. According to our analysts, this indicates a growing number of users interacting with the network. 

On the other side, selling pressure appears to be building up as 1 billion XRP (over $621 million) has been unlocked from an escrow account in multiple transactions. In addition to this, XRP’s exchange reserves have witnessed a sharp increase of 0.61% to reach 3.111 billion XRP. Historically, this indicates an impending selling pressure as more tokens appear on exchanges for liquidation. Meanwhile, traders remain confident, as 60.09% of them hold long positions against the 39.91% short positions. 

According to analyst Amonyx, XRP would likely make a sharp “switch” from the current bearish trend to approach the $589 price point by the end of the bullish cycle. 

Based on our analysis of his presentation, his audacious prediction was backed by a historical chart featuring two instances of massive symmetrical triangles. The first formation led to a whopping 75,000% surge between the last quarter of 2017 and the first quarter of 2018 (Q4 2017 and Q1 2018). After about seven years of pullback, the analyst believes that XRP is breaking out of another triangle, which could propel the asset into the triple-digit zone. 

No matter how much you deny it, this will happen. #XRP pic.twitter.com/dg31PL33Hm— Amonyx (@amonbuy) September 30, 2024