96 encryption ETF applications ignite the market! SOL and XRP emerge as the biggest winners, institutional funds may reshape the alts landscape | Encryption ETF dynamics

ETF expert Nate Geraci warns that the "gate is about to open" for crypto ETFs. Bloomberg data shows that the SEC is reviewing 96 applications, with Solana (16 applications) and XRP (15 applications) leading. BlackRock's IBIT Bitcoin ETF has attracted $58 billion, demonstrating the power of institutional funds. If altcoin ETFs are approved, it could trigger a new round of altcoin bull run. This article deeply analyzes the dynamics of ETF approval and potential investment opportunities.

[ETF application surge, institutions layout surpassing BTC/ETH]

Bloomberg analyst James Seyffart confirmed that the SEC is currently reviewing 96 cryptocurrency ETF applications, setting a historical high. Among them, Solana leads with 16 applications, followed closely by XRP with 15, while other applications cover Ethereum, Bitcoin, Dogecoin, and Litecoin. ETF expert Nate Geraci stated, "The floodgates for crypto ETFs are about to open," emphasizing the surging demand from institutions for regulated digital asset exposure tools.

[BlackRock Demonstration Effect: 3% of Bitcoin Supply Has Been Locked]

The BlackRock iShares Bitcoin Trust ETF (IBIT) has attracted $58 billion in funds since its launch, and its Ethereum ETF has also accumulated $13 billion. IBIT alone holds 3% of the total Bitcoin supply, confirming the significant influence of institutional capital on the cryptocurrency market. 21Shares just submitted its first SEI ETF application yesterday, indicating that institutional allocations are expanding towards small and mid-cap tokens.

[SEC approval progress delays, XRP/SOL become the main focus]

Despite a surge in the number of applications, the SEC's approval process remains slow. The Grayscale Cardano ETF has not received a clear response since its application was submitted in February, and the regulatory agency is still gathering public opinions. Currently, XRP and Solana have become the most active competitive targets, with multiple institutions simultaneously laying out ETF products for both. Bloomberg data shows that compared to 72 applications in April, the current number has increased by 33%, indicating that issuers are accelerating their efforts to seize the market.

[The Bitcoin ecosystem will gain indirect empowerment through the value spillover of the ETF channel]

The approval of an altcoin ETF would bring multiple benefits to the Bitcoin ecosystem:

1. Liquidity Overflow: Institutional funds will naturally allocate Bitcoin after entering the cryptocurrency market through compliant channels.

2. Infrastructure Sharing: The ETF custody and clearing system needs to strengthen blockchain infrastructure, which is beneficial for the Bitcoin network.

3. Valuation Linkage: The altcoin ETF may enhance the overall market value, and Bitcoin, as a value storage tool, will benefit in tandem.

Investors are advised to pay attention to Bitcoin Layer 2 solutions and related infrastructure tokens.

Investors can adopt the following strategies:

• The highest number of ETF applications is for SOL and XRP spot positions.

• Use options to hedge against SEC delay approval risk

• Pay attention to the ETF application for small and mid-cap tokens (like SEI) and the opportunity for price increase.

[Conclusion]

96 ETF applications mark the official entry of crypto assets into the era of institutional allocation, with Solana and XRP emerging as the biggest winners due to a high number of applications. Although there is uncertainty in the SEC approval process, the continued entry of traditional financial institutions such as BlackRock has proven that the long-term trend is irreversible. Bitcoin investors should pay attention to the ecological spillover effect brought by altcoin ETFs and seize cross-sector rotation opportunities.