As a seasoned researcher with over two decades of experience in the financial markets, I’ve witnessed numerous shifts and transformations that have reshaped industries. The recent election of Donald Trump has brought about a new wave of optimism within the crypto community, particularly for altcoins like Solana, XRP, and Litecoin.
After Donald Trump’s election win on Tuesday, crypto enthusiasts are feeling optimistic about their ETF aspirations. They view this change in political leadership as a possible milestone for the authorization of ETFs focusing on alternative cryptocurrencies like Solana, Ripple (XRP), and Litecoin.
Solana Gains Ground In ETF Approval Race
Instead of the Biden administration taking steps with continuous enforcement actions and creating an unfriendly regulatory atmosphere towards digital assets, President-elect Trump has expressed a welcoming stance by making significant promises aimed at fostering development within this emerging financial field.
Trump’s positive attitude towards cryptocurrencies has stimulated Wall Street to progress with ETF proposals that were once considered uncertain. Now, the U.S. Securities and Exchange Commission (SEC) has received multiple applications for funds following XRP, Solana, and Litecoin, creating a noticeable atmosphere of optimism in the crypto sphere.
Eric Balchunas, an analyst at Bloomberg Intelligence, pointed out that altcoin ETFs would likely fail immediately if Harris had won, but with Trump in office, they have a chance to survive and potentially thrive due to reduced regulatory barriers. However, he emphasizes that success is not certain under the new administration.
The market for digital currencies like Bitcoin and Ethereum is experiencing a boost due to the recent authorization of Exchange-Traded Funds (ETFs) that invest in these cryptos. These ETFs have drawn substantial investments, accumulating over $24 billion in net inflows specifically for Bitcoin.
The trend that’s currently being seen might continue with altcoins, specifically Solana, as it has gained significant attention from institutions thanks to its strong competition with Ethereum.
According to Noelle Acheson, writer of the “Crypto Is Macro Now” newsletter, it’s quite probable that Solana ETFs will be given the green light due to the token’s robust performance and more straightforward storyline. However, XRP might encounter obstacles because many investors find its purpose less clear.
Trump’s Election Spurs Crypto Market Rally
On Thursday, Bitcoin surpassed $76,000, a new peak, as investors express enthusiasm over the possibility of a supportive regulatory landscape, sometimes seen as a “Trump trade” reference.
Experts at Bernstein believe that potential regulatory adjustments during a Trump presidency might significantly boost Bitcoin’s value, potentially reaching around $200,000 by the year 2025.
As a crypto investor, I found myself following the evolving stance of Donald Trump on digital currencies during his campaign. Initially skeptical, he eventually became an advocate, expressing his intention to appoint regulatory figures more supportive of cryptocurrencies in place of Gary Gensler as SEC Chair.
Nevertheless, it’s unclear how much impact President Trump could potentially have on the Securities and Exchange Commission (SEC), a separate regulatory body. Stephane Ouellette, co-founder and CEO of FRNT Financial, notes that while the SEC might become more welcoming towards cryptocurrencies, its complex nature makes future actions difficult to foresee.
In the wake of Gensler’s expected departure, cryptocurrencies labeled as “unregistered securities,” such as Uniswap (UNI) and Polygon (POL), have experienced a surge in value. Uniswap saw a price increase of 38%, while Polygon rose by 20% in the days after the election results. Notably, these gains exceeded Bitcoin’s 14% growth during the same period.
The election results have additionally boosted ETH, increasing by 21% post-election. Investors anticipate a more advantageous legislative landscape, potentially fostering increased approval and prosperity for Ethereum ETFs that haven’t garnered the same level of excitement as Bitcoin ETFs.
Yet, the ambiguity over whether staking rewards for Ether are considered commodities or securities adds complexity to the creation of Ether Exchange-Traded Funds (ETFs).
Jesper Johansen, CEO of Ethereum staking platform Northstake, highlighted that $6 billion in Ether ETFs is currently not being staked, representing a significant missed opportunity for investors.
Currently, Solana, a cryptocurrency that recently surpassed Binance Coin (BNB) in market capitalization, stands at $196 per unit, marking a 15% increase over the past week.
Read More
- SOL PREDICTION. SOL cryptocurrency
- USD PHP PREDICTION
- BTC PREDICTION. BTC cryptocurrency
- USD COP PREDICTION
- TON PREDICTION. TON cryptocurrency
- LUNC PREDICTION. LUNC cryptocurrency
- Strongest Magic Types In Fairy Tail
- GLMR PREDICTION. GLMR cryptocurrency
- AAVE PREDICTION. AAVE cryptocurrency
- ENA PREDICTION. ENA cryptocurrency
2024-11-08 09:12