XRP XRP/USD is trading up 0.33% to $2.16 on Tuesday, showing resilience after last week’s rally that lifted the token nearly 11% over the past seven days. Despite a broader cooldown in altcoins, XRP continues to outperform peers, driven by mounting ETF optimism and renewed legal clarity.
ETF Optimism Grows With May Deadline in Sight
A new report from crypto data firm Kaiko suggests XRP may be better positioned than any other asset—including Solana and Litecoin—for the next spot ETF approval in the U.S. Analysts cite two key catalysts; superior market liquidity and the recent launch of Teucrium's 2x leveraged XRP ETF, known as XXRP.
In the report published Monday, Kaiko said XRP currently has the highest average 1% market depth among altcoins on major centralized exchanges. This measure of liquidity—representing the total volume of buy and sell orders within 1% of the current price—is a key factor in enabling stable, efficient ETF products. Kaiko noted that strong liquidity has historically been an important consideration for the SEC when evaluating ETF applications.
Teucrium's XXRP product debuted last week, making it the first XRP ETF of any kind available to U.S. investors. While the fund is leveraged and built on derivatives, its approval has added pressure for the SEC to greenlight a spot XRP ETF—especially as Grayscale and Bitwise await responses to their applications.
The next key deadline is May 22, when the SEC must respond to Grayscale's spot XRP filing.
XRP vs. SOL: The Altcoin ETF Race
According to Kaiko, XRP leads the ETF filing race with 10 active applications—double that of Solana and well ahead of Litecoin or Dogecoin. It also has the largest share of U.S.-based spot trading among the group, a major shift since the SEC's 2021 lawsuit against Ripple initially forced widespread delistings.
That case may now be in its final chapter. Benzinga previously reported that Ripple and the SEC have reached an agreement in principle to resolve their years-long legal dispute, with a negotiated resolution pending formal Commission approval.
The SEC's new leadership under Paul Atkins—considered more crypto-friendly than his predecessor Gary Gensler—could expedite that resolution while reshaping the agency's stance on crypto ETFs more broadly.
Investor Confidence Holding Steady
XRP's ability to hold ground above $2 reflects a strong divergence from broader market trends. The coin attracted $3.4 million in inflows last week, topping all non-Bitcoin digital assets, according to CoinShares. That came during a week in which crypto products lost nearly $800 million in outflows, with Bitcoin and Ethereum leading the declines.
Even with options traders pricing in downside risk—Deribit data still shows a slight put skew—analysts say this is likely a reaction to macroeconomic uncertainty rather than XRP-specific sentiment. In fact, XRP has begun reclaiming U.S. exchange market share just as Solana’s has declined, according to Kaiko.
Key Levels to Watch
With price action stabilizing, traders are eyeing the $2.20 resistance level as the next breakout target. If cleared, XRP could retest its recent high near $2.38. On the downside, support remains firm at $1.95, with a secondary floor around $1.64 — the low point from last week's sell-off.
While volatility remains a factor, XRP's resilience in the face of broader outflows, paired with renewed ETF hopes and legal clarity, sets the stage for continued outperformance.
With the SEC's May 22 deadline fast approaching, traders and institutions alike will be watching XRP as the next phase of ETF approvals unfolds.
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