XRP News Today: SEC Scrutiny and Trump Election Bets Drive XRP and BTC Demand

SEC Lawyer Movements Highlight the Agency’s Bias Against Crypto

On Tuesday, October 29, Fox Business journalist Eleanor Terret shared an article about former SEC lawyers changing allegiance and moving to crypto-related firms.

Terret named Ladan Stewart as one of four SEC enforcement lawyers who left the agency for firms representing crypto clients. Ladan Stewart reportedly worked as an SEC enforcement lawyer for eight years before joining White & Case.

Speaking at a Crypto Investor Day event, Stewart said,

“When you come to this side and you realize that there are people who really want to find a way to work with regulators, and they feel like that’s just not possible, given you know who is at the helm of the SEC or generally the Biden administration. I think it’s just unfortunate, and it gets in the way of any effort toward reaching some regulatory clarity or anything that allows us to work toward building this industry.”

Coinbase (COIN) Chief Legal Officer Paul Grewal remarked,

“I never am at a loss for words. Until now…”

Amicus Curiae attorney and candidate for the United States Senate in Massachusetts John E. Deaton shared his experience of the SEC, stating,

“Just because you switch sides for monetary reasons doesn’t mean you get a free pass on the conduct you were part of during the last four years. Innocent investors, developers and users (including more than $15 billion) were harmed, and continue to be harmed, by that conduct.”

Increasing scrutiny of the SEC and its reign of regulation through enforcement contributed to a positive Tuesday crypto session. Rising hopes of a Trump return to the White House fueled demand for crypto assets, including XRP.

XRP Price Action

On Tuesday, October 29, XRP advanced by 1.72%, following a 0.46% gain from the previous session, closing at $0.5278. While XRP extended its winning streak to four sessions, it remained below the crucial $0.55 level for the eighth consecutive session. XRP underperformed BTC and the broader crypto market, which gained 3.33%, taking the market cap to $2.303 trillion.

Rising hopes for a Trump return to the White House could further boost XRP demand. Trump said he would fire SEC Chair Gensler on day one, potentially ending the SEC’s appeal against rulings in the Ripple case. A decrease in Trump’s electoral chances might enable the SEC to pursue its appeal, potentially dropping XRP below $0.50.

Bitcoin Retakes the $73,000 Handle on Trump Election Bets

While XRP advanced, BTC revisited the $73,000 handle for the first time since March 2024, nearing its all-time high of $73,808. Rising bets on a Trump return to the White House drive demand for BTC.

According to the latest national polls, Kamala Harris leads Trump by just 1.4 points, down from 1.8 points on October 23 and 2.8 points on September 30.

Despite Kamala Harris voicing support for crypto, Trump remains the crypto market’s president of choice. Trump has offered several promises targeting the crypto vote, including firing SEC Chair Gary Gensler on day 1 and making BTC a strategic US reserve.

US BTC-spot ETF Market Extends Inflow Streak

Sentiment toward the US Presidential Election has likely fueled demand for US BTC-spot ETFs. Some investors may view US BTC-spot ETF flows as an indicator of sentiment toward the US election results.

On Monday, October 28, the US BTC-spot ETF market saw net inflows of $479.4 million, with issuers reporting another positive session on Tuesday. According to Farside Investors:

• Fidelity Wise Origin Bitcoin Fund (FBTC) saw net inflows of $133.9 million on Tuesday, October 29. (Previous day: +$44.1 million).
• Bitwise Bitcoin ETF (BITB) had net inflows of $52.5 million. (PD: +$38.7 million).
• Grayscale Bitcoin Mini Trust (BTC) saw net inflows of $29.2 million. (PD: 21.6 million).
• ARK 21Shares Bitcoin ETF (ARKB) reported net inflows of $12.4 million (Previous day: +$59.8 million).

Excluding iShares Bitcoin Trust (IBIT) flow data, the US BTC-spot ETF market had total net inflows of $227.2 million on October 29, down from $479.4 on October 28. Notably, IBIT had net inflows of $315.2 million on October 28, possibly setting the stage for US BTC-spot ETF market inflows to reach approximately $500 million on October 29.

Bitcoin (BTC) Price Action

On Tuesday, October 29, BTC rallied 4.11%, following a 2.63% gain from the previous session, to close at $72,628. Significantly, BTC extended its winning streak to four sessions.

On Wednesday, October 30, US economic indicators, including Q3 GDP and ADP employment data, require consideration. Weaker-than-expected data could raise investor bets on a 25-basis point December Fed rate cut. A more dovish Fed rate path and expectations for a soft US economic landing could boost demand for riskier assets.

Positive sentiment could fuel buyer appetite for US BTC-spot ETFs, potentially driving BTC toward $75,000. Additionally, US Presidential Election-related news could influence BTC price trends. A narrowing in the national polls could drive buyer appetite for BTC and spot ETFs.