Analysts in the crypto ETF field are making optimistic predictions about the future of Solana, Litecoin, and XRP ETFs, with a 95% chance of being approved by the U.S. Securities and Exchange Commission (SEC) this year. This is promising news for investors and the cryptocurrency community, reflecting a positive trend developing in the financial market.
Experts' forecasts
Eric Balchunas and James Seyffart, two leading ETF experts from Bloomberg, recently shared an insightful analysis on Twitter, in which they adjusted their forecasts regarding the likelihood of altcoin ETFs, including Solana, Litecoin, and XRP, being approved by the SEC. According to these experts, the probability of these funds being approved by the SEC has increased from 90% to 95%. This change not only reflects the robust development of the cryptocurrency market but also serves as a clear testament to the gradual removal of legal barriers to cryptocurrency-related financial products.
Seyffart also predicted: “We expect a new wave of ETFs in the second half of 2025,” indicating that not only current products but also future ETFs will continue to receive significant attention from the SEC and investors.
In addition to the three prominent ETFs, Solana, Litecoin, and XRP, experts also believe that other spot altcoin funds, such as Dogecoin, Cardano, Polkadot, Hedera, and Avalanche, will have approval rates of up to 90%. Final decisions regarding these ETFs are expected to be announced in the fourth quarter of this year, opening up significant opportunities for smaller cryptocurrency projects to be listed and traded on major exchanges.
The altcoin ETF wave: Is it time to explode?
The emergence of altcoin ETFs is becoming a prominent trend in the crypto community. These exchange-traded funds are not just simple investment tools but also help investors access and trade cryptocurrencies easily without having to own them directly. This helps mitigate risks related to security and technical issues, especially for those who are not deeply familiar with blockchain technology, while also increasing liquidity across the entire market.
Moreover, if the SEC approves spot altcoin ETFs, it would be a strong signal that the regulatory agency has begun to recognize the legitimacy and maturity of the cryptocurrency market. The launch of these funds would not only contribute to the popularity of cryptocurrencies but also open up investment opportunities for those who have never participated in the market, making cryptocurrency more accessible to a wider range of investors.
However, despite positive signals, the SEC remains cautious in approving cryptocurrency ETFs. The agency has postponed decisions on several important issues, including whether Bitwise's Ether ETF can include staking functionality. Additionally, the SEC is not yet ready to approve products related to Ethereum staking, leaving many investors still waiting for a final decision.
Notably, the REX Osprey Solana Staking ETF has become the first fund in the United States to allow cryptocurrency staking. This fund had to overcome many legal challenges to be approved, including agreeing to invest at least 40% of its assets in other ETPs, most of which are headquartered outside the U.S. Nevertheless, the emergence of this product is seen as an important milestone, creating new opportunities for investors who want to engage in the cryptocurrency market without facing complex technological risks.