Analysts predict significant price increases for XRP and Solana driven by strong inflows into their new exchange-traded funds. These ETFs are attracting institutional money away from Bitcoin and Ethereum, signaling a broader market rebound. The optimism coincides with rising expectations for a Federal Reserve interest rate cut.
Wall Street's growing interest in XRP and Solana is set to propel their prices higher, according to experts, as altcoin-focused exchange-traded funds (ETFs) gain traction. Ray Youssef, CEO of crypto trading platform NoOnes, forecasts a 33% rise for XRP and a 10% increase for Solana, attributing this to the appeal of regulated investment products.
"Regulated products create a steady inflow channel that can serve as a liquidity buffer for the current market environment," Youssef told DL News. He highlighted accelerating institutional demand for exposure to assets beyond Bitcoin, even amid challenging macroeconomic conditions.
This bullish outlook aligns with other predictions: analysts anticipate XRP reaching $2.50 from its current $2.20 level, and Solana climbing to $160 from $136. Over the past month, XRP and Solana ETFs have drawn $955 million in inflows, per data from SoSoValue, contrasting sharply with $3.7 billion in outflows from Bitcoin ETFs and $1.6 billion from Ethereum funds.
The broader cryptocurrency market has risen about 2% in the last 24 hours, reaching a valuation exceeding $3 trillion. This recovery follows a global rally in tech stocks, spurred by heightened odds of a Federal Reserve rate cut in December. The CME FedWatch tool now shows an 81% probability, up from recent weeks, while Polymarket bettors estimate 83%.
Bitcoin has gained 1.5% to $87,413, and Ethereum 3.6% to $2,896, over the same period. These developments suggest a rotation of capital toward altcoins, potentially stabilizing the sector amid improving risk appetite.