Wall Street Flat as Investors Await Jackson Hole
Tuesday 19 August 2025
GENIUS Act Lifts Bitcoin; XRP in SEC Limbo
On Tuesday, 20 May, Bitcoin (BTCUSD) rose as investor sentiment improved following the Senate’s approval of the GENIUS Act on 19 May, a move seen as a step forward for broader crypto legislation.
In contrast, Ripple XRP (XRPUSD) slipped 1% on Tuesday after the SEC delayed its review of proposed spot XRP ETFs, heightening uncertainty over regulatory timelines. (Source: FXEmpire)
XRP vs BTC Price Performance Chart
XRP has been underperforming Bitcoin over recent weeks. Whereas Bitcoin is back re-testing its record high set in January, Ripple’s XRP token is languishing just off the April low.
*Past performance does not indicate future results
SEC Delays XRP ETF Review
XRP fell 1% on 20 May despite a broader uptick in crypto markets as traders fretted over regulatory issues surrounding the issuance of new crypto ETFs.
On Tuesday, the US Securities and Exchange Commission (SEC) postponed its review of proposed cryptocurrency ETFs tied to XRP and Dogecoin (DOGE). The delay impacts three filings: the 21Shares Core XRP Trust, Grayscale XRP Trust, and Grayscale Dogecoin Trust.
The delay may not necessarily be good or bad news since the SEC has made a habit of delaying decisions on crypto-related ETFs as it reviews the various similar applications.
In March, the SEC dropped its multi-year lawsuit against Ripple, the developer of the XRP token. Making a cryptocurrency available via an ETF opens it up to a broader array of investors, potentially including institutions that are limited to regulated securities. As such, crypto traders view regulatory approval of a new ETF as bullish for the adoption of cryptocurrencies.
Bitcoin Bolstered by Senate Passing GENIUS Act
On Monday, 19 May, the US Senate voted to advance landmark legislation aimed at regulating stablecoins, a major underpinning of the cryptocurrency markets. The move follows an earlier attempt by Democrats to block the bill. (Source: CNN)
Stablecoins are important in their own right for the functioning of the cryptocurrency market. The biggest stablecoins by market cap are Tether and USDC, which are tied to the value of the US dollar.
Crypto traders are also viewing the passage of the GENIUS Act as raising the prospects of future regulations to directly regulate other aspects of cryptocurrencies, possibly increasing the appeal of Bitcoin and other tokens.
Notably, it could open the door for a vote on the reintroduced Bitcoin Act championed by Senator Cynthia Lummis. The proposal calls for the US government to acquire one million BTC over five years, with a 20-year holding requirement. If approved, the resulting supply squeeze could drive Bitcoin to new highs.
Conclusion
Bitcoin's surge, spurred by the Senate’s passage of the GENIUS Act, reflects some optimism over clearer regulatory frameworks and potential institutional adoption. In contrast, XRP continues to face headwinds, with the SEC’s delay in reviewing spot ETF proposals reinforcing regulatory uncertainty. While the GENIUS Act may mark a turning point in the maturation of the broader crypto market, XRP’s trajectory remains clouded by ongoing oversight challenges.
*Past performance does not indicate future results
