Altcoins Surge as SEC Recognizes XRP, DOGE ETF Filings

Alternative cryptocurrencies (altcoins) surged on Friday as XRP and Dogecoin (DOGE) gained strength from the U.S. Securities and Exchange Commission's (SEC) acknowledgment of spot ETF filings. Additionally, the Solana-based decentralized exchange Jupiter's JUP token rallied in response to the platform's token buyback plan.

The SEC has recognized Grayscale's applications for XRP and DOGE spot ETFs, according to market updates. These filings will now be submitted to the SEC's federal register, initiating a 240-day review period. If approved, these regulated and familiar investment vehicles would make it easier for institutions to gain exposure to these coins without directly purchasing and storing them, potentially enhancing market liquidity and boosting demand for these tokens.

XRP traded higher at $2.73 at press time, up 10% on a 24-hour basis, making it the best-performing top 100 cryptocurrency by market value. Meanwhile, DOGE traded 4% higher. Valentin Fournier, an analyst at BRN, told CoinDesk that the SEC's acceptance of ETF applications for XRP and Dogecoin adds to a growing list of altcoin ETF reviews, including Solana and Litecoin. If approved, these products could significantly expand institutional access to altcoins, injecting liquidity and potentially setting the stage for an alt-season later this year.

Digital assets are showing slight upward momentum, supported by positive regulatory signals and easing trade tensions, Fournier added. Jupiter's JUP token also traded 10% higher in response to the decentralized exchange's plan to allocate 50% of its protocol fees toward repurchasing and locking JUP tokens for three years from Feb. 17. This plan aims to reduce the token's circulating supply and boost the platform's sustainability.

Bitcoin (BTC), however, continued to trade lackluster, around $97,000, amid continued outflows from U.S.-listed spot exchange-traded funds (ETFs). The 11 spot BTC ETFs listed in the U.S. have witnessed a cumulative net outflow of $650 million this week. Despite this, the dull price action offered hope against the backdrop of hotter-than-expected U.S. CPI and PPI releases this week. Fournier