by Coinstrooper Crypto Articles
Quick Take
  • The New York Stock Exchange has approved the listing of Grayscale’s XRP and Dogecoin exchange-traded funds, clearing both products to begin trading on Monday.
  • NYSE approved Grayscale’s XRP and Dogecoin ETFs, converting long-running private trusts into ETFs.
  • The launches come amid a surge in altcoin ETF approvals.
  • Analysts warn continued ETF withdrawals could pressure Bitcoin toward $82K.

What Happened

The launches come amid a surge in altcoin ETF approvals.

NYSE Arca, the exchange’s ETF-focused subsidiary, filed certifications on Friday confirming the listing and registration of the Grayscale XRP Trust ETF Shares and the Grayscale Dogecoin Trust ETF Shares under the Securities Exchange Act of 1934.

If launched as planned, Grayscale’s Dogecoin ETF will become the second Dogecoin ETF in the US, following the REX-Osprey DOGE product that debuted in September under the Investment Company Act of 1940.

Since their launch last year, spot-Bitcoin ETFs have become a key indicator of demand for the underlying asset, and a source of volatility.

Market Context

The New York Stock Exchange has approved the listing of Grayscale’s XRP and Dogecoin exchange-traded funds, clearing both products to begin trading on Monday.

“These approvals certify the listing and registration” of the trusts, NYSE Arca wrote, setting the stage for two of the crypto market’s most widely followed assets to gain ETF access.

ETF Outflows Loom Over the Broader Market

Citi Research estimates that each $1 billion in outflows corresponds to a 3.4% drop in Bitcoin’s price, according to a report from Bloomberg.

Bitcoin is currently trading near $85,000, after touching $80,553 earlier on Friday.

Why It Matters

Analysts warn continued ETF withdrawals could pressure Bitcoin toward $82K.

That guidance outlined how issuers could go public without waiting for explicit approval, provided listing standards, themselves approved by the SEC in September, were met.

Details

Key Takeaways:

NYSE approved Grayscale’s XRP and Dogecoin ETFs, converting long-running private trusts into ETFs.

Grayscale Converts Long-Running Trusts Into Full ETFs

Notably, both products are conversions of long-running private trusts into fully listed ETFs.

XRP is the fourth-largest cryptocurrency, while Dogecoin, created as a meme, remains the largest memecoin globally with a deeply loyal retail following.

Grayscale’s latest conversions arrive during a surge of new crypto ETFs in the United States.

Over the past year, funds tracking Litecoin, HBAR, XRP, and Solana secured listings using guidance the SEC issued early in the government shutdown.

Grayscale now operates ETF products tied to Bitcoin, Ethereum, Dogecoin, Solana, and XRP, extending its lineup as demand for altcoin-focused funds increases.

The approvals come at a time when sentiment around crypto ETFs has weakened sharply.

US spot Bitcoin ETFs suffered nearly $1 billion in outflows on Thursday, the second-largest daily withdrawal on record for the 12-fund cohort.

BlackRock’s IBIT saw $355 million leave the fund, while Grayscale’s GBTC and Fidelity’s FBTC lost close to $200 million each.

The sector is heading toward its worst week since February, with about $4 billion pulled over the past month as Bitcoin slid roughly 30% in the same period.

Analyst Alex Saunders now places a bear-case target of $82,000 for year-end, citing hesitant long-term holders and a lack of new inflows, per the reprot